Worldwide M&A activity totals $1.36 trillion, down 20% compared to YTD 2015
Real Estate M&A hits $161.4 billion this year, down 20% compared to 2015
European IPO activity totals $12.7 billion, down 57% compared to a year ago
Energy & Power ECM totals $52.3 billion for YTD 2016, down 4% from a year ago
US Investment Grade debt hits $530.0 billion, flat compared to last year
Industrials DCM up 7% compared to 2015 with $149.3 billion raised this year
Biggest Global IPO in 2016 Pushes Activity to $35 billion
Denmark’s DONG Energy A/S raised $2.6 billion this week in the year’s biggest initial public offering, pushing global IPO activity to $35.1 billion, a 52% decline compared to this time last year and the slowest year-to-date for IPOs since 2009. Asia Pacific offerings, lead by China, account for 42% of this year’s listings, up from 35% a year ago. European IPOs account for 37% so far this year, down from 41% during year-to-date 2015. New listings in the financial sector accounts for 23%, followed by industrials (17%) and real estate (13%). JP Morgan, one of six bookrunners for DONG Energy’s offering, which ranked as the third largest Nordic IPO since records began in 1980, leads the year-to-date ranking of global IPO underwriters with 7.9% market share. Morgan Stanley is in second place with 7.0%, followed by Goldman Sachs and Citi (each with 5.5%).
Sovereign Wealth Fund Acquisitions Up 62%
Qatar Investment Authority’s $2.5 billion bid for BlackRock-owned Asia Square Tower brings the levels of acquisitions involving sovereign wealth funds to $28.6 billion so far this year, a 62% increase compared to year-to-date 2015 and the strongest year-to-date period for sovereign wealth purchases since 2008. Industrials, financials and real estate account for nearly 80% of year-to-date sovereign wealth M&A activity, up from 33% a year ago. A $9.5 billion bid for Australia’s Asciano Ltd by a consortium including a number of sovereign funds pushes Australia targets to 43% of year-to-date activity. China targets account for 30%, followed by Singapore with 11%.