BY CONTINUING TO USE THIS SITE, YOU ARE AGREEING TO OUR USE OF COOKIES. REVIEW OUR PRIVACY & COOKIE NOTICE
X
HOME > OUR THINKING > Corporates > BLOG

Robust Year for M&A Propels Deal Value for Several Sectors to Record Highs

 In the aftermath of two large M&A announcements yesterday - healthcare firm Actavis plc (NYSE:ACT) signing a definitive agreement to acquire Allergan Inc. (NYSE:AGN) for $65.2 billion in cash and stock and Halliburton Company (NYSE:HAL) making a proposal to acquire oilfield services company Baker Hughes Incorporated (NYSE: BHI) for $34.6 billion – the Global Markets Intelligence research team of S&P Capital IQ investigated to find where the current ten sectors of the S&P 500 rank with regard to historic US M&A deals. As indicated below, we broke out US M&A deal activity by sectors – presently at more than $1.46 trillion – and compared than to the most active deal by sector historically. Even prior to the Baker Hughes’ deal, US M&A activity in the energy field was already at record levels with over $283 billion in deal value. Likewise, given that the Actavis bid for Allergan supplants Valeant’s previous bid for the company, healthcare M&A was similarly already at record highs, However, at least one second may be within striking range of a record year as – with 44 deal-making days left in 2014 – the consumer discretionary sector is about $41 billion in deal value to set a new record. On the other hand, where the deal activity shows less robustness includes financials, industrials and information technology as those sectors are significantly lagging their prior annual high water marks.

Subscribe to Insights