The volume of global merger-and-acquisition activity is down this year, but the value of those deals is up, according to data from LSEG Data & Analytics.
In a new report, the firm said worldwide M&A activity totalled US$2.3 trillion through the first nine months of 2024, which is up by 16% from the same period last year. Still, the number of deals was down 20% year over year, to its lowest level in eight years.
The strength in deal value reflects the fact that the flow of so-called mega deals — transactions valued at over US$10 billion — was up by 34% this year, with 26 transactions totalling US$515.2 billion.
Almost half (48%) of the deal activity involved U.S. targets, LSEG reported, with the value of U.S. deals rising 18% to US$1.1 trillion in the first nine months of the year.
European M&A was also up 30% from last year to US$481.3 billion, while deals in the Asia Pacific region declined by 8%.
The tech and energy sectors led the way, accounting for 16% of deal activity each.
LSEG also reported that 24% of global M&A involved private equity-backed buyouts, as the value of these deals rose 40% year over year.
Goldman Sachs & Co. remained atop the global M&A league tables, while Morgan Stanley edged out JP Morgan for second place. Citi ranked fourth, and Bank of America Securities was fifth.
The top Canadian firm was RBC Capital Markets, which ranked 13th overall, down from 12th place last year. The only other firm in the top 25 was TD Securities Inc., which took 23rd place, up from 28th spot last year.