According to MergerMarket's Monthly M&A Insider Report, global M&A
activity declined in Q1 2016 after strong levels of activity in
2015. The first few months of 2016 resulted in a total of 3,474
deals worth an aggregate of US$605.5 billion, down from the 4,126
deals worth US$785.5 billion in Q1 2015. The top performing sector,
industrial and chemicals, was responsible for 655 deals worth
US$145.1 billion, representing a 71.3% increase in value from deals
in this sector in Q1 2015.
The decrease in M&A activity has been particularly
noticeable in North America where Q1 2016 resulted in 1,117 deals
worth $US257.2 billion compared to 1,396 deals valued at US$370.8
billion in Q1 2015. The pharma, medical & biotech sector led
the way in North America with 125 deals worth US$56.2 billion. The
report attributed the decline in deal value and activity to
wavering confidence in the European and Asian economies, global
political concerns and uncertainty with respect to U.S. tax