Canadian M&A activity remained strong in 1H 2018 as low
financing costs and continued North American economic growth fueled
a robust M&A environment. In 1H 2018, 518 Canadian companies
were sold, a 7% increase over the first half of 2017, with
disclosed enterprise values totaling $51 billion (118% YOY 1H
2017). Of the transactions completed, 73% were domestic
acquisitions, which is in line with historical averages.
The number of megadeals1 decreased from 21 in 1H 2017
to 19 in 1H 2018, as did the average enterprise value, with 1H 2018
averaging $4.1 billion compared to $5.1 billion the year prior. The
largest deal involving a Canadian buyer or seller in 1H 2018 was
Nutrien's (formerly PotashCorp) acquisition of Agrium for $24.5
billion (Total Enterprise Value ["TEV"]). The Agrium
acquisition was first proposed in 2016, working its way through a
series of shareholder and regulatory approvals before becoming
official on January 2, 2018. The combined entity is now one
