White & Case – The frenzied pace of US M&A in 2014 and 2015 calmed in the first half of 2016, returning the market to far more sustainable and familiar activity levels.
After two blockbuster years, the first half of 2016 has brought M&A activity back to normal levels of activity, with fewer megadeals and generally lower deal values. Although deal flow is lower than last year, H1 2016 is in line with historically strong M&A trends.
The 2,291 deals recorded in the first six months are far ahead of the 1,825 deals recorded in H1 2013.
Economic, regulatory and political uncertainty have all influenced this return to normality. Economically, US GDP growth is slightly below last year’s 2.4 percent increase, and there is the specter of rising interest rates on the horizon.
Europe’s markets are sluggish, questions continue as to the pace of China’s economic growth and oil prices remain low.