A mergermArket report on globAl m&A Activity Monthly M&A ... · Belgium-based Omega Pharma for...

Monthly M&A InsIderA mergermArket report on globAl m&A Activity

mAy 2012

MONTHLY M&A INSIDERMERGERMARKET

GLOBAL OVERVIEW 01

AMERICAS: LATIN AMERICA 06

NORTH AMERICA 11

ASIA-PACIFIC 15

EUROPE 20

MIDDLE EAST & AFRICA 25

ABOUT MERRILL CORPORATION 30

www.mergermarket.comPart of The Mergermarket Group

CONTENTS

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Monthly M&A Insider

global overview

01

The US$11.9bn sale of Pfizer’s infant nutrition unit to Switzerland-based Nestlé – the largest M&A deal of the year to date – reflects Pfizer’s retreat from non-core areas and its refocus on pharmaceuticals. This same strategy is also driving the widely anticipated sale (or listing) of the company’s animal health unit, which has so far drawn strategic interest from Germany-based Bayer and Novartis.

A similar back-to-basics approach is reflected on the buy-side, with Nestlé describing infant nutrition as being “at the heart of the company since it was founded in 1866” in the official deal announcement. Going forward Nestlé’s baby food business will seek to strengthen its grip on the Chinese market – an effort that should be pushed along smoothly with the newly-acquired Pfizer business, which boasts a market share of about 7.4% in China.

A renewed focus on core activities has also underpinned the M&A strategy of UK-based GlaxoSmithKline (GSK), which announced its US$2.5bn acquisition of Human Genome Sciences Inc., a biopharmaceutical company, in early May. The deal follows a string of non-core divestments from GSK, including the sale of several international over the counter (OTC) brands – including Nytol, Zantac and Beconase – to Belgium-based Omega Pharma for US$615m, and the sale of certain US and Canadian consumer brands to Prestige Brand Holdings for US$660m last December.

Large conglomerates’ asset sales are creating attractive growth opportunities for deep-pocketed strategic acquirers. But these non-core sales are also presenting opportunities to private equity buyers, particularly in smaller, more specialised industry subsectors. One recent example is the sale of Thomson Reuters’ healthcare analytics business, which provides software, data and analysis to healthcare companies seeking cost savings and operational improvements. US-based private equity firm Veritas Capital acquired the company in a US$1.3bn deal in April, as part of its expansion into the healthcare analytics market.

There are smaller-scale examples of this too. Platinum Equity – a US-based buyout firm that specialises in working with “strategic sellers” – acquired a 65% stake in the Logistics Services business of Caterpillar Inc. for US$750m, and in Europe, steel producer ArcelorMittal sold a minority stake to French buyout group AXA Private Equity as part of its non-core divestment strategy.

The next few months will likely see more of these attractive, high quality assets come to market. Hopefully, this trend will offset some of the more pressing challenges plaguing the market right now, like extended uncertainty in the eurozone or a looming election season in the US, and give new opportunities to cash-rich corporate acquirers and private equity buyers.

GLOBAL OVERVIEw

CORE STRENGTHGLOBALLy, THERE wERE 706 DEALS wORTH US$147.1BN REGISTERED IN THE MONTH OF APRIL, REPRESENTING A 34% DECLINE IN VOLUME AND A 42% DECLINE IN VALUE FROM THE SAME PERIOD LAST yEAR. ALL THINGS CONSIDERED, M&A HAS KEPT AN IMPRESSIVE PACE THROUGH TURBULENT TIMES, DUE LARGELy TO COMPANIES’ RENEwED FOCUS ON CORE OPERATIONS.

Head of Research: Elias Latsis

Editor: Gwen Ceton

For advertising opportunities contact:

Erik Wickman

Tel: + (1) 212 6863329 [email protected]

Global overview: Elizabeth Castro

Latin America: Urna Chakraborty

North America: Jason Cozza

Asia-Pacific: Timothy Phillips

Europe: Darragh Riordan, Peter Kruk and yannis Papacostas

Middle East & Africa: Marie-Laure Keyrouz and Silvia Paparello

Monthly M&A Insider 02

GLOBAL OVERVIEW

TREND GRAPHS

GLOBAL M&A QUARTERLY TREND

0

200

400

600

800

1,000

1,200

1,400

Q212*

Q112

Q411

Q311

Q211

Q111

Q410

Q310

Q210

Q110

Q409

Q309

Q209

Q109

Q408

Q308

Q208

Q108

Q407

Q307

Q207

Q107

Q406

Q306

Q206

Q106

Valu

e (U

S$bn

)

Total value Mid-market value

Num

ber of deals

0

500

1,000

1,500

2,000

2,500

3,000

3,500

4,000

4,500

Total volume Mid-market volume

0

50

100

150

200

250

300

350

400

Q212*

Q112

Q411

Q311

Q211

Q111

Q410

Q310

Q210

Q110

Q409

Q309

Q209

Q109

Q408

Q308

Q208

Q108

Q407

Q307

Q207

Q107

Q406

Q306

Q206

Q106

Valu

e (U

S$bn

)

Buyout value Exit value

Num

ber of deals

Buyout volume Exit volume

0

100

200

300

400

500

600

700

800

900

GLOBAL M&A ANNUAL TREND GLOBAL M&A ANNUAL PRIVATE EQUITY TREND

0

500

1,000

1,500

2,000

2,500

3,000

3,500

4,000

YTD 2012*201120102009200820072006

Valu

e (U

S$bn

)


Num

ber of deals

0

2,000

4,000

6,000

8,000

10,000

12,000

14,000

16,000

18,000


0

100

200

300

400

500

600

700

800

900

YTD 2012*201120102009200820072006

Valu

e (U

S$bn

)


Num

ber of deals


0

500

1,000

1,500

2,000

2,500

3,000

3,500

GLOBAL M&A QUARTERLY PRIVATE EQUITY TREND


GLOBAL OVERVIEW

TREND GRAPHS

GLOBAL M&A SECTOR BREAKDOWN YTD 2012

GLOBAL GEOGRAPHIC BREAKDOWN YTD 2012

VALUE

VALUE

VOLUME

VOLUME

31.9%

5.6%

3.7%

3.4%

2.4%1.6%

7.9%

1.4%

10.1%

11.9%

10.7%

9.4%

Industrials & Chemicals

TMT

Consumer

Business Services

Energy, Mining & Utilities

Financial Services

Pharma, Medical & Biotech

Construction

Leisure

Transportation

Real Estate

Agriculture

2.3% 4.4%

36.1%

39.3%

17.9% Asia-Pacific

Europe

North America

Middle East & Africa

Central & South America

9.1%

11.1%

1.0%

0.3%3.2%

3.2%

2.0%

7.5%

3.7%

8.3%

21.2%

15.7%

13.7%


TMT

Consumer

Business Services


Financial Services


Construction

Leisure

Transportation

Real Estate

Agriculture

4.7%2.6%

34.2%

40.5%

18.0% Asia-Pacific

Europe

North America

Middle East & Africa

Central & South America


globAl overvieW

TREND GRAPHS

GlobAl M&A deAl sIze breAkdown

VALUE VOLUME

0

10

20

30

40

50

60

70

80

90

100

YTD 2012*201120102009200820072006

42.1%

16.7%

21.0%

7.5%

12.7%

39.8%

16.8%

23.0%

7.9%

12.5%

42.8%

15.0%

19.1%

8.8%

14.3%

40.8%

16.3%

20.4%

7.9%

14.6%

27.3%

20.9%

27.4%

9.5%

14.9%

30.2%

19.3%

25.9%

10.2%

14.4%

28.1%

20.1%

29.0%

10.3%

12.5%

<US$250m or undisclosed value

US$251m-US$500m

US$501m-US$2,000m

US$2,001m-US$5,000m

>US$5,001m

Per

cent

age

80

82

84

86

88

90

92

94

96

98

100

YTD 2012*201120102009200820072006


US$251m-US$500m

US$501m-US$2,000m

US$2,001m-US$5,000m

>US$5,001m

1.2%

5.0%

4.7%

88.4%

1.3%

5.5%

5.1%

87.4%

0.6%

0.9%

3.9%

4.6%

90.0%

0.9%

3.7%

3.9%

91.0%

89.3%

4.5%

4.7%

1.1%

0.4%

1.1%

4.7%

4.9%

88.8%

0.7% 0.7% 0.5%

1.1%

4.9%

5.0%

88.6%

0.4%0.5%

Per

cent

age

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M E R R I L L D A T A S I T E

LATIN AM

ERICA

LATIN AMERICAA MERgERMARkET M&A REpoRT oN


April’s top deal is Brazil-based AmBev Brasil Bebidas’ acquisition of a 41.76% stake in Dominican Republic-based Cerveceria Nacional Dominican. This acquisition will form a strategic alliance to create the leading beverage company in the Caribbean through the combination of both businesses in the region. The combined business will include beer, malt, and soft drinks operations in the Dominican Republic, Antigua, Saint Vincent, and Dominica, as well as exports to 16 other countries in the Caribbean, the US, and Europe.

The Energy, Mining & Utilities sector dominated top deals for the month of April, including Endeavour Silver Corp’s US$200m acquisition of El Cubo and guadalupe y Calvo Mining project from AuRico gold Inc. The sector had the second highest deal volume in the year-to-date with 28 deals worth US$6.7bn, a 17.8% market share by volume and 27.8% by value.

Looking forward, Mexico has begun its presidential campaigns for elections to be held on 1 June 2012. As the United States’ third-largest trading partner, it has been making its presence known with 15 deals worth US$1.6bn in the year-to-date, despite reports of horrific organised crimes that have rocked the country. The candidates include Enrique pena Nieto, representing the Institutional Revolutionary party, Josefina Vazquez Mota, a former education secretary under the former president representing the National Action party, and Andres Manuel Lopez obrador, a liberal former mayor of Mexico City. With the elections taking place at the end of the second quarter, it remains to be seen how the results will affect Mexican M&A in the future.

LATIN AMERICAN M&A ACTIVITy DURINg ApRIL SAW 35 DEALS WoRTh US$2.5BN, BRINgINg ThE ToTAL yEAR-To-DATE VALUE To 157 DEALS WoRTh US$24.2BN. ThE INDUSTRIALS AND ChEMICALS SECToR hAD ThE hEAVIEST DEAL fLoW AT 29 DEALS IN ThE yEAR-To-DATE VALUE WoRTh US$732M. hoWEVER, BUSINESS SERVICES hAD ThE hIghEST DEAL VALUE IN ThE yEAR-To-DATE WITh US$7.5BN WoRTh of DEALS, ExCEEDINg INDUSTRIALS AND ChEMICALS.

07

LATIN AM

ERICA

Monthly M&A Insider

TOP 10 LATIN AMERICAN ANNOUNCED DEALS OF THE MONTH (APR-12)Announced Bidder company Target company Target dominant

sectorSeller company Exit multiples (x) Bid premia

1-day before

Deal value

(US$m)Revenue EBITDA P/E

16-Apr-12 Ambev Brasil Bebidas Ltda Cerveceria Nacional Dominicana C. por A. (41.76% stake)

Consumer Grupo Leon Jimenes

- - - - 1,000

26-Apr-12 Celesio AG Panpharma Participacoes SA (49.90% stake)


- - - - 346

17-Apr-12 Endeavour Silver Corp El Cubo; and Guadalupe y Calvo Mining Project


AuRico Gold Inc - - - - 200

08-Apr-12 BNDES Participacoes SA; Fundacao Petrobras de Seguridade Social; and GP Investments Limited

Lupatech SA (39.30% stake)


3.8 76.6 - -12.1% 192

27-Apr-12 Enagas SA GNL Quintero SA (20.00% stake)


BG Group Plc - - - - 176

27-Apr-12 Pacific Rubiales Energy Corp BPZ Energy Inc (Block Z-1 assets) (49.00% stake)


BPZ Energy Inc - - - - 150

08-Apr-12 Lupatech SA San Antonio Brazil Energy, Mining & Utilities

GP Investments Limited

- - - - 82

18-Apr-12 Svenska Cellulosa Aktiebolaget SCA

Papeles Industriales SA (50.00% stake)

Consumer 1.3 - - - 77

12-Apr-12 Parex Resources Inc Nabors Industries Inc (Exploration blocks in Llanos and Middle Magdalena Basin)


Nabors Industries Inc

- - - - 73

05-Apr-12 Amcor Limited Aluprint SA de CV (tobacco packaging plant)


Aluprint SA de CV

1.3 - - - 40

Based on announced deals, including lapsed and withdrawn bids Based on dominant geography of target company being Latin AmericaData correct as of 07-May-12

Source: mergermarket

TOP DEALS

LATIN AM

ERICA

Monthly M&A Insider

TREND GRAPHS

0

10

20

30

40

50

60

70

Q212*

Q112

Q411

Q311

Q211

Q111

Q410

Q310

Q210

Q110

Q409

Q309

Q209

Q109

Q408

Q308

Q208

Q108

Q407

Q307

Q207

Q107

Q406

Q306

Q206

Q106


Num

ber of dealsValu

e (U

S$bn

)

0

20

40

60

80

100

120

140

160

180


0

500

1,000

1,500

2,000

2,500

3,000

3500

4,000

4,500

Q212*

Q112

Q411

Q311

Q211

Q111

Q410

Q310

Q210

Q110

Q409

Q309

Q209

Q109

Q408

Q308

Q208

Q108

Q407

Q307

Q207

Q107

Q406

Q306

Q206

Q106

Valu

e (U

S$m

)


Num

ber of deals


0

2

4

6

8

10

12

14

16

18

0

20

40

60

80

100

120

140

160

180

YTD 2012*201120102009200820072006


Num

ber of dealsValu

e (U

S$bn

)

0

100

200

300

400

500

600

700


0

1,000

2,000

3,000

4,000

5,000

6,000

7,000

8,000

YTD 2012*201120102009200820072006

Valu

e (U

S$m

)


Num

ber of deals


0

5

10

15

20

25

30

35

40

45

50

08

LATIN AMERICAN M&A QUARTERLY TREND

LATIN AMERICAN M&A ANNUAL TREND LATIN AMERICAN M&A ANNUAL PRIVATE EQUITY TREND

LATIN AMERICAN M&A QUARTERLY PRIVATE EQUITY TREND

LATIN AM

ERICA

Monthly M&A Insider

TREND GRAPHS

LATIN AMERICAN M&A GEOGRAPHIC BREAKDOWN YTD 2012

VALUE VOLUME

5.1%

4.8%

4.1%

4.2%

6.5%

0.9% 0.1%2.1%

71.5%

0.7%

Argentina

Brazil

Chile

Colombia

Costa Rica

Dominican Republic

Mexico

Panama

Peru

Uruguay

56.1%

1.3%

8.9%

10.2%

0.6%

9.6%

0.6% 5.7%

0.6%

6.4%Argentina

Brazil

Chile

Colombia

Costa Rica

Dominican Republic

Mexico

Panama

Peru

Uruguay

LATIN AMERICAN M&A SECTOR BREAKDOWN YTD 2012

VALUE VOLUME

27.8%

13.2%

31.0%

11.1%

0.6%1.5%

0.9%1.6% 3.3%

3.0%4.8%1.2%



Consumer

Business Services

Financial Services

Technology


Leisure

Real Estate

Transportation

Construction

Media

18.7%

17.8%

15.9%10.8%

10.2%

5.1%

5.1%

1.9%2.5%

0.6%0.6%

3.8%

3.8%3.2% Industrials & Chemicals


Consumer

Business Services

Financial Services

Technology


Leisure

Real Estate

Transportation

Construction

Agriculture

Media

Telecommunications

09

10

LATIN AM

ERICA

Monthly M&A Insider

LATIN AMERICAN M&A DEAL SIZE BREAKDOWN

VALUE VOLUME

0

10

20

30

40

50

60

70

80

90

100

YTD 2012*201120102009200820072006


US$251m-US$500m

US$501m-US$2,000m

US$2,001m-US$5,000m

>US$5,001m

46.9%

8.3%

21.8%

10.3%

12.7%

16.1%

10.6%

32.1%

16.0%

25.2%

30.5%

20.3%

24.5%

10.0%

14.7%

9.2%

29.3%

36.6%

10.1%

14.8%9.4%

6.9%

24.9%

19.2%

39.6%

29.0%

18.4%

27.4%

10.8%

14.4%

28.3%

19.6%

35.2%

16.9%

Perc

enta

ge

20

30

40

50

60

70

80

90

100

YTD 2012*201120102009200820072006

1.0%

5.4%

7.4%

85.2%

0.2%

5.5%

6.3%

87.3%

0.6%

4.7%

5.3%

88.2%

0.3%

6.9%

5.4%

85.6% 82.4%

6.3%

8.1%

1.2%1.0% 0.7% 1.2% 1.8% 2.0%

6.0%

5.9%

86.2%

0.8% 0.6%

Perc

enta

ge

1.1%

8.3%

5.7%

85.4%


US$251m-US$500m

US$501m-US$2,000m

US$2,001m-US$5,000m

>US$5,001m

TREND GRAPHS

NORTH

AMERICA

A mergermArket m&A report on

11Monthly M&A Insider

nortH AmerICA

ConsuMer And LeIsure heAt up In AprILtHe Consumer spACe HeAted up In AprIl wItH tHe lArgest AnnounCed yeAr-to-dAte deAl. swItzerlAnd-bAsed nestlÉ HAs Agreed to ACquIre pfIzer’s nutrItIon unIt, A provIder of nutrItIonAl HeAltH produCts for InfAnts, for A CAsH ConsIderAtIon of us$11.9bn. tHe trAnsACtIon Is expeCted to fACe CArtel Issues In AustrAlIA, tHAIlAnd And venezuelA, And Industry sourCes speCulAte nestlÉ wIll need to sell An ApproxImAte 20.00% stAke In tHe bAby-food unIt to AppeAse regulAtors. nestlÉ HAs not ConfIrmed Any defInItIve dIsposAls. tHe potentIAl Cross-border deAl Is not expeCted to Close untIl tHe fIrst HAlf of 2013.

meanwhile, in the leisure space, us-based investment holding company Justice Holdings limited announced its intention to acquire a 29.00% stake in burger king Holdings, Inc. from new york-based hedge fund firm 3g Capital partners, marking one of the largest leisure deals in north America worth us$1.4bn. the transaction is in line with burger king’s growth strategy, which intends to file for an Ipo on the nyse later this summer.

energy, Mining & utilities dominates market sharethe energy, mining & utilities sector leads north America sector activity by deal value with 123 deals worth an aggregate us$58.4bn, or about 29% of north America’s market share. energy transfer partners, which reportedly initiated talks with prospective target sunoco, Inc., agreed to acquire the philadelphia-based petroleum refiner and chemicals manufacturer for a combined cash and stock consideration worth approximately us$7bn.

pharma, Medical & Biotech sees aggregate us$8bn in top deals; pe firms watch Allscriptsthe pharma, medical & biotech space also heated up in April with the announcement of two mega deals: Catalyst Health solutions has agreed to merge with sxC Health solutions, and Hologic has agreed to acquire gen-probe in an effort to expand its diagnostics portfolio. the combined deals are valued at approximately us$8bn, and could pave the way for further consolidation within the diagnostics and pharmacy benefit management (pbm) services industries this year. Ceo mark thierer of sxC said, “turmoil” within the pbm space will make more companies potential m&A targets. sxC will continue to evaluate strategic acquisitions.”

private equity firms are said to be watching clinical software provider Allscripts Healthcare solutions for the right opportunity to engage in talks regarding a leveraged buyout, according to industry sources. the hospital healthcare information technology company has faced many recent challenges. on 26-Apr-12 the company announced disappointing earnings, the ouster of the chairman of the board and the resignation of three board members in protest.

the Chicago-based company would benefit from being private in order to sort through the issues it is experiencing, sources speculate. However, the company stock will need to stabilise in order to initiate a sale process.

12

NORTH

AMERICA

Monthly M&A Insider

top deAls

top 10 north AMerICAn AnnounCed deALs of the Month (Apr-12) Announced Bidder company target company target dominated

sectorseller company exit multiples (x) Bid premia

1-day before

deal value(us$m)revenue eBItdA p/e

23-Apr-12 nestlé sA pfizer nutrition Consumer pfizer Inc 5.6 - - - 11,850

30-Apr-12 energy transfer partners lp sunoco Inc energy, mining & utilities

0.1 - - 25.4% 6,959

18-Apr-12 sxC Health solutions Corp Catalyst Health solutions Inc

pharma, medical & biotech

0.8 37.6 60.8 27.5% 4,292

30-Apr-12 Hologic Inc gen-probe Incorporated

pharma, medical & biotech

6.2 28.5 74.8 20.4% 3,599

26-Apr-12 starlight Investments ltd transglobe Apartment real estate Investment trust

real estate - - - 15.0% 1,984

26-Apr-12 suburban propane partners lp

Inergy propane llC business services Inergy lp - - - - 1,800

18-Apr-12 wideopenwest Holdings llC knology Inc telecommunications 2.7 17.1 15.9 9.4% 1,411

04-Apr-12 Justice Holdings limited burger king Holdings Inc (29.00% stake)

leisure 3g Capital partners

3.0 19.2 45.1 - 1,400

17-Apr-12 new mountain Capital llC AmwIns group Inc financial services parthenon Capital partners

- - - - 1,300

23-Apr-12 veritas Capital thomson reuters Corporation (Healthcare business)

business services thomson reuters Corporation

- - - - 1,250

based on announced deals, including lapsed and withdrawn bids based on dominant geography of target company being north America (us + Canada) data correct as of 07-may-12

source: mergermarket

13

NORTH AM

ERICA

Monthly M&A Insider

TREND GRAPHS

NORTH AMERICAN M&A QUARTERLY TREND

0

100

200

300

400

500

600

Q212*

Q112

Q411

Q311

Q211

Q111

Q410

Q310

Q210

Q110

Q409

Q309

Q209

Q109

Q408

Q308

Q208

Q108

Q407

Q307

Q207

Q107

Q406

Q306

Q206

Q106

Valu

e (U

S$bn

)


Num

ber of deals

0

200

400

600

800

1,000

1,200

1,400

1,600


0

50

100

150

200

250

Q212*

Q112

Q411

Q311

Q211

Q111

Q410

Q310

Q210

Q110

Q409

Q309

Q209

Q109

Q408

Q308

Q208

Q108

Q407

Q307

Q207

Q107

Q406

Q306

Q206

Q106

Valu

e (U

S$bn

)


Num

ber of deals


0

50

100

150

200

250

300

350

NORTH AMERICAN M&A ANNUAL TREND NORTH AMERICAN M&A ANNUAL PRIVATE EQUITY TREND

0

200

400

600

800

1,000

1,200

1,400

1,600

1,800

YTD 2012*201120102009200820072006


Num

ber of dealsValu

e (U

S$bn

)

0

1,000

2,000

3,000

4,000

5,000

6,000


0

50

100

150

200

250

300

350

400

450

500

YTD 2012*201120102009200820072006

Valu

e (U

S$bn

)


Num

ber of deals


0

200

400

600

800

1,000

1,200

NORTH AMERICAN M&A QUARTERLY PRIVATE EQUITY TREND

14

NORTH AM

ERICA

Monthly M&A Insider

TREND GRAPHS

NORTH AMERICAN M&A SECTOR BREAKDOWN YTD 2012

VALUE VOLUME

12.5%

7.6%

11.7%

11.4%

28.0%

6.4%

4.9%

2.8%

2.7%0.4%

4.3%

1.9%0.4% 5.0%


Technology

Consumer



Business Services

Financial Services

Media

Leisure

Construction

Transportation

Real Estate

Telecommunications

Agriculture

19.4%

15.4%

11.1%

11.0%

10.9%

10.5%

3.5%3.5%

2.4%

1.6%1.2%

8.5%

0.5%

0.1%0.4%


Technology

Consumer



Business Services

Financial Services

Media

Leisure

Construction

Transportation

Real Estate

Telecommunications

Defence

Agriculture

NORTH AMERICAN M&A DEAL SIZE BREAKDOWN

VALUE VOLUME

0

10

20

30

40

50

60

70

80

90

100

YTD 2012*201120102009200820072006


US$251m-US$500m

US$501m-US$2,000m

US$2,001m-US$5,000m

>US$5,001m

52.8%

14.7%

16.8%

6.2%

9.5%

43.6%

18.8%

21.5%

6.5%

9.6%

49.1%

14.0%

17.4%

7.3%

12.2%

58.7%

13.3%

13.2%

5.5%

9.3% 12.5%

9.7%

27.7%

18.0%

32.1%37.5%

21.3%

20.7%

8.8%

11.7%

19.1%

23.2%

35.9%

10.0%

11.8%

Perc

enta

ge

75

80

85

90

95

100

YTD 2012*201120102009200820072006

1.1%

1.5%

5.3%

5.3%

86.8%

1.1%

1.8%

6.2%

5.3%

85.6%

0.9%

3.7%

4.1%

90.6%

1.0%

3.5%

3.8%

91.0%

87.4%

5.3%

5.6%

1.1% 1.4%

4.9%

5.4%

87.6%

0.7% 0.7% 0.6% 0.7%

1.3%

6.3%

5.2%

86.7%

0.5%


US$251m-US$500m

US$501m-US$2,000m

US$2,001m-US$5,000m

>US$5,001m

Perc

enta

ge

ASIA-PAcIfIc



ASIA-pAcIfIc

Financial Services cashing inWhile the financial Services sector accounted for nearly 11% of volume for the month of April, US$13bn was spent on buys in the sector, accounting for over 60% of total value in the region. Indeed, the sector hosted the three largest deals and five out of the top eight. the two largest transactions were cross-border deals involving Singaporean bidders for other regional assets. A familiar player, temasek, moved further into china’s commercial banking sector, spending US$2.4bn for roughly a 1% stake in Beijing-based Industrial and commercial Bank of china Limited (IcBc). Despite some recent criticism of profits in china’s banking sector and fears of a slowdown in china’s economy, long-term growth prospects remain strong.

In the largest deal of the month, temasek again played a role. the transaction saw Singapore-based DBS group (DBS) make the largest-ever takeover bid for a South east Asian bank, when it agreed to acquire Indonesia’s pt Bank Danamon Indonesia tbk (Danamon) for US$7.3bn. this time, temasek, which previously held 67% of the Indonesian bank, was the seller. However, also as a part of the deal, temasek raised its ownership in DBS from 29.5% to 40.4%, and DBS will use the acquisition to expand its footprint in Indonesia and the rest of South east Asia.

Larger deals in smaller economiesWhile china, Australia, Japan and India accounted for nearly two thirds of m&A transactions in Asia-pacific in the month of April, a few other countries saw significant activity. In terms of deal flow, South korea saw 15 deals (all but two were domestic transactions) totalling US$210m. on the other hand, while not seeing a significant number of transactions, Indonesia, taiwan and Hong kong witnessed some larger deals. In Indonesia, out of the six transactions that took place, the lion’s share of money spent can be accounted for in the previously mentioned DBS – Danamon acquisition.

In taiwan the story was similar as only one large transaction took place. Also in the financial Services sector, china Development financial Holdings (china Development), a taiwan-listed financial services company, made an offer to acquire kgI Securities co Ltd, a taiwan-listed securities brokerage firm in a deal worth US$1.7bn. china Development has reportedly been looking for an acquisition like this since January 2011 when its interest in polaris Securities was thwarted by a merger between polaris and Yuanta financial Holding. However, the fruition of the china Development and kgI tie up is a significant consolidation of two taiwanese players in the financial Services sector.

TMT M&A callingAccording to a recent financial times report, technology-based m&A has bucked a downward trend in global activity and the same could be true of Asia-pacific. for example, mergermarket’s proprietary intelligence shows that a chinese company in the telecommunications hardware sector is looking to emerging markets in Latin America for growth opportunities. In addition, a Hong kong-based media company is looking to raise money for an acquisition and another Australia-based telecommunications company, significantly involved in new technology is looking to scale up through acquisitions down under. no doubt that energy, mining & Utilities will remain on the radar as will Industrials & chemicals, but a number of other sectors will continue to gain in prominence as the region develops.

ASIA-pAcIfIc m&A In tHe montH of AprIL feLL SLIgHtLY off pAce BUt contInUeD to DISpLAY HeALtHY ActIvItY In LIgHt of ongoIng economIc UncertAIntY gLoBALLY AnD In eUrope. AprIL WItneSSeD 143 DeALS WortH US$21.6Bn, DecLIneS of 9% AnD 19% reSpectIveLY. AprIL 2012 ALSo SAW Some IntereStIng ActIvItY BotH In termS of tHe geogrApHIc LocAtIon of DeAL fLoW WItHIn tHe regIon AS WeLL AS SectorS tArgeteD BY InveStorS.


ASIA-PACIFIC

TOP DEALS

TOP 10 ASIA-PACIFIC ANNOUNCED DEALS OF THE MONTH (APR-12)Announced Bidder company Target company Target dominant


1-day beforeDeal value

(US$m)Revenue EBITDA P/E

02-Apr-12 DBS Group Holdings Ltd Bank Danamon Indonesia Tbk PT

Financial Services n/a n/a 18.3 52.5% 7,338

16-Apr-12 Temasek Holdings Pte Ltd Industrial and Commercial Bank of China Limited (1.02% stake)

Financial Services Goldman Sachs n/a n/a 7.1 3.2% 2,384

05-Apr-12 China Development Financial Holdings

KGI Securities Co Ltd Financial Services 3.4 12.9 25.1 29.6% 1,722

19-Apr-12 Brookfield Asset Management Inc

Thakral Holdings Limited Real Estate 3.6 10.7 (loss) 30.8% 760

11-Apr-12 CVC Asia Pacific Ltd Hong Kong Broadband Network Ltd; and CTI Guangzhou Customer Services Co Ltd

Media City Telecom (HK) Ltd

- - 17.4 n/a 646

12-Apr-12 Mitsui Sumitomo Insurance Co Ltd

Max Life Insurance Company (26.00% stake)

Financial Services Max India Limited; and New York Life Insurance Company

n/a n/a - n/a 530

12-Apr-12 AmG Insurance Berhad Kurnia Insurans (M) Berhad Financial Services Kurnia Asia Berhad

n/a n/a 18.5 n/a 506

03-Apr-12 Sumitomo Corporation Isaac Plains Coal Joint Venture (50.00% stake)


Aquila Resources Limited

- - - n/a 446

24-Apr-12 Yahoo Japan Corporation ASKUL Corporation (42.27% stake)

Business Services 0.4 7.7 (loss) -11.4% 406

11-Apr-12 WesTrac Holdings Pty Ltd Bucyrus International Inc (Distribution and support business)

Business Services Caterpillar Inc - - - n/a 400

Based on announced deals, including lapsed and withdrawn bids Based on dominant geography of target company being Asia-Pacific Data correct as of 04-May-12


17

ASIA-PACIFIC

Monthly M&A Insider

TREND GRAPHS

ASIA-PACIFIC M&A QUARTERLY TREND

0

20

40

60

80

100

120

140

160

180

Q212*

Q112

Q411

Q311

Q211

Q111

Q410

Q310

Q210

Q110

Q409

Q309

Q209

Q109

Q408

Q308

Q208

Q108

Q407

Q307

Q207

Q107

Q406

Q306

Q206

Q106

Valu

e (U

S$bn

)


Num

ber of deals

0

100

200

300

400

500

600

700

800

900


0

5

10

15

20

25

Q212*

Q112

Q411

Q311

Q211

Q111

Q410

Q310

Q210

Q110

Q409

Q309

Q209

Q109

Q408

Q308

Q208

Q108

Q407

Q307

Q207

Q107

Q406

Q306

Q206

Q106

Valu

e (U

S$bn

)


Num

ber of deals


0

10

20

30

40

50

60

70

80

90

100

ASIA-PACIFIC M&A ANNUAL TREND ASIA PACIFIC M&A ANNUAL PRIVATE EQUITY TREND

0

50

100

150

200

250

300

350

400

450

500

YTD 2012*201120102009200820072006


Num

ber of dealsValu

e (U

S$bn

)

0

500

1,000

1,500

2,000

2,500

3,000


0

10

20

30

40

50

60

70

YTD 2012*201120102009200820072006

Valu

e (U

S$bn

)


Num

ber of deals


0

50

100

150

200

250

300

350

ASIA-PACIFIC M&A QUARTERLY PRIVATE EQUITY TREND

18

ASIA-PACIFIC

Monthly M&A Insider

TREND GRAPHS

ASIA-PACIFIC M&A GEOGRAPHIC BREAKDOWN YTD 2012

VALUE VOLUME

China

India

Australia

Japan

Indonesia

Malaysia

Hong Kong

South Korea

Taiwan

Vietnam

Other

25.2%

16.9%

14.9%

9.8%

5.1%

4.6%

4.0%

2.7%

1.5%

2.3%

13.0%

21.4%

14.9%

4.2%

17.2%

2.2%

5.2%

10.2%

1.3%

1.5%9.5%

12.4%

China

India

Australia

Japan

Indonesia

Malaysia

Hong Kong

South Korea

Taiwan

Vietnam

Other

ASIA-PACIFIC M&A SECTOR BREAKDOWN YTD 2012

VALUE VOLUME

26.8%

6.2%

5.3%

1.6%1.0% 4.7%

1.5%0.1%

1.7%

19.9%

6.1%

20.9%

2.9%

1.3%Industrials & Chemicals

Business Services


Consumer

Technology

Financial Services


Transportation

Construction

Leisure

Real Estate

Media

Telecommunications

Agriculture

22.0%

12.2%

9.8%

9.7%

8.8%

8.3%

5.5%

4.8%

4.5%

4.2%

4.2%3.3%

1.7%1.0%


Business Services


Consumer

Technology

Financial Services


Transportation

Construction

Leisure

Real Estate

Media

Telecommunications

Agriculture

19

ASIA-PACIFIC

Monthly M&A Insider

ASIA-PACIFIC M&A DEAL SIZE BREAKDOWN

VALUE VOLUME

0

10

20

30

40

50

60

70

80

90

100

YTD 2012*201120102009200820072006


US$251m-US$500m

US$501m-US$2,000m

US$2,001m-US$5,000m

>US$5,001m

17.6%

22.8%

27.3%

11.3%

21.0%

15.6%

17.0%

30.3%

12.6%

24.5%

29.6%

15.8%

22.2%

12.0%

20.4%

19.8%

16.9%

30.7%

11.2%

21.4% 21.7%

10.9%

26.5%

27.4%

13.5%

24.4%

13.8%

29.6%

12.6%

19.6%

17.6%

26.2%

26.1%

10.3%

19.8%

Perc

enta

ge

75

80

85

90

95

100

YTD 2012*201120102009200820072006

1.2%

4.8%

4.9%

88.8%

0.9%

5.1%

5.4%

88.3%

0.9%

4.5%

5.8%

88.4%

1.0%

5.5%

5.3%

87.8% 88.8%

5.0%

4.4%

1.5% 0.8%

5.3%

6.2%

87.3%

0.3% 0.3% 0.3% 0.3%0.4%

1.3%

4.2%

5.0%

89.2%

0.4% 0.4%


US$251m-US$500m

US$501m-US$2,000m

US$2,001m-US$5,000m

>US$5,001m

Perc

enta

ge

TREND GRAPHS


europe


eUrope

So far, in regards to year-to-date, europe has seen 1,359 deals worth €168.7bn, with just 373 mid-market transactions worth €36.3bn. to compare, Q2 2011 alone saw more deals (443) amounting to a greater value (€44.7bn). In fact, all but one of the quarters since then have seen a decrease in both volume and value. the optimism around the new year of a rebound in european m&A has yet to become apparent, and it has become clear that political infighting with the eU , including pivotal elections in greece and France, have been key contributing factors.

April’s biggest deal saw gDF Suez acquire the remaining 30.23% of International power for a consideration of €8.3bn. the offer price of 418 pence per share, an increase from the rejected 390 pence offer made in march, represents a premium of 20.8% from the day before speculation of when a bid arose in February. HSBC, rothschild, Bnp paribas and ondra partners provided financial advice to gDF Suez, whilst International power turned to morgan Stanley, Lazard, Barclays and nomura. the deal is thought to leave gDF Suez better positioned to win contracts in emerging markets.

According to a mergermarket report, gDF Suez could look to offload some of its wind power assets in germany, Italy, portugal, and possibly north America to fund the acquisition. gDF Suez hopes to raise €3bn from additional asset sales, on top of its on-going €10bn divestment programme.

elsewhere, pharma, medical and Biotech deals made up three of the top ten transactions by value this month, with Watson pharmaceuticals’ €4.4bn acquisition of Activis group the largest. For 2012 so far, energy, mining and Utilities remains ahead by value with €64.07bn worth of deals. Industrials and Chemicals have seen the largest number of deals with 333, almost 25% of total m&A activity. As expected, Switzerland remains the most active region by value, yet holds just 2.8% of the market share by volume while the Uk holds 21.1%.

m&A activity in greece looks set to remain largely on hiatus as elections failed to determine a clear direction for the indebted nation once again. A mergermarket analysis piece cited a government source who said, “the best case scenario is for the pro-european parties – primarily nD and pASok – to get enough votes to form a coalition government.” With these two parties gaining just 32% of the vote, foreign investments and privatisations alike remain unlikely to pick up.

meanwhile in Spain, rumours persist over the possible CaixaBank takeover of Banco BpI. CaixaBank purchased an 18.87% stake of the portuguese bank from Banco Itaú, the Brazilian lender which has been looking to decrease its exposure to the european crisis. mergermarket intelligence reveals that whilst one person familiar with CaixaBank’s thinking believes it was an opportunistic purchase at an attractive price of €93m the general consensus is that a full takeover is likely once BpI completes its recapitalisation process. Consolidation within the Iberian banking sector remains an ongoing theme, with the number of cajas whittled down to just 15, and developments here could pave the way for deals in the pipeline in other sectors to come to fruition. However, this process could be played out over a matter of years rather than months.

AprIL SAW A totAL oF 257 eUropeAn m&A trAnSACtIonS vALUIng €41.97Bn, repreSentIng A DeCreASe oF 46.9% AnD 31.5% In AprIL 2011 By voLUme AnD vALUe reSpeCtIveLy. tHIS mArkS A WorSenIng oF tHe generAL trenD oF 2012 So FAr, In WHICH ContInUIng ConCernS over tHe SovereIgn DeBt CrISIS HAve SLoWeD m&A ACtIvIty. Q1 2012 WAS DoWn 3.9% on Q1 2011 By vALUe, even WItH FeBrUAry’S €55.94Bn gLenCore–XStrAtA megADeAL. At tHe CUrrent rAte, Q2 2012 LookS Set to FALL ConSIDerABLy SHort oF Q2 2011, WHICH SAW 1,482 DeALS At €166.99Bn.

21

EUROPE

Monthly M&A Insider

TOP DEALS

TOP 10 EUROPEAN ANNOUNCED DEALS OF THE MONTH (APR-12) Announced Bidder company Target company Target dominated


1-day before

Deal value(€m)Revenue EBITDA P/E

16-Apr-12 GDF Suez SA International Power Plc (30.23% stake)


2.5 9.2 18.9 4.8% 8,301

25-Apr-12 Watson Pharmaceuticals Inc

Actavis Group hf Pharma, Medical & Biotech

2.4 14.3 - - 4,400

26-Apr-12 Fresenius SE & Co KGaA

Rhoen-Klinikum AG Pharma, Medical & Biotech

1.4 10.5 19.3 52.3% 3,732

18-Apr-12 Alimentation Couche Tard Inc

Statoil Fuel & Retail ASA Consumer 0.3 7.3 15.1 52.8% 2,841

03-Apr-12 Molson Coors Brewing Company

StarBev LP Consumer CVC Capital Partners Limited

3.8 11.0 - - 2,650

23-Apr-12 Vodafone Group Plc Cable & Wireless Worldwide Plc

Telecommunications - - - 18.8% 1,281

24-Apr-12 Royal Dutch Shell Plc Cove Energy Plc Energy, Mining & Utilities

- - - 1.4% 1,236

24-Apr-12 AF Telecom Holding MegaFon OJSC (10.70% stake)

Telecommunications Altimo - - - - 1,220

24-Apr-12 AF Telecom Holding OJSC Telecominvest (26.10% stake)

Technology TeliaSonera AB - - - - 1,099

30-Apr-12 Terra Firma Capital Partners Limited

Four Seasons Health Care Limited


Royal Bank of Scotland Group Plc

- 8.3 - - 1,009

Based on announced deals, including lapsed and withdrawn bids Based on dominant geography of target company being Europe Data correct as of 08-May-12


EUROPE


TREND GRAPHS

EUROPEAN M&A QUARTERLY TREND

0

100

200

300

400

500

Q212*

Q112

Q411

Q311

Q211

Q111

Q410

Q310

Q210

Q110

Q409

Q309

Q209

Q109

Q408

Q308

Q208

Q108

Q407

Q307

Q207

Q107

Q406

Q306

Q206

Q106

Valu

e (!

bn)


Num

ber of deals

0

200

400

600

800

1,000

1,200

1,400

1,600

1,800

2,000


0

10

20

30

40

50

60

70

80

90

100

110

120

130

140

Q212*

Q112

Q411

Q311

Q211

Q111

Q410

Q310

Q210

Q110

Q409

Q309

Q209

Q109

Q408

Q308

Q208

Q108

Q407

Q307

Q207

Q107

Q406

Q306

Q206

Q106

Buyout value Exit value Buyout volume Exit volume

Valu

e (!

bn)

Num

ber of deals

0

50

100

150

200

250

300

350

400

450

EUROPEAN M&A ANNUAL TREND EUROPEAN M&A ANNUAL PRIVATE EQUITY TREND

0

200

400

600

800

1,000

1,200

YTD 2012*201120102009200820072006


Num

ber of deals

Valu

e (!

bn)

0

1,000

2,000

3,000

4,000

5,000

6,000

7,000

8,000


0

50

100

150

200

250

300

YTD 2012*201120102009200820072006

Valu

e (!

bn)


Num

ber of deals


0

200

400

600

800

1,000

1,200

1,400

1,600

EUROPEAN M&A QUARTERLY PRIVATE EQUITY TREND

EUROPE


TREND GRAPHS

EUROPEAN M&A GEOGRAPHIC BREAKDOWN YTD 2012

VALUE VOLUME

UK

CEE

Iberia

France

Nordic

Germany

Benelux

Italy

Switzerland

Others5.7%

9.6%

24.7%

4.1%

21.0%

9.5%

2.5%

6.4%

6.9%

9.6%

13.7%

8.9%

2.8%

8.9%

5.7%

21.1%

10.5%

11.3%

5.2%

11.9%

UK

CEE

Iberia

France

Nordic

Germany

Benelux

Italy

Switzerland

Others

EUROPEAN M&A SECTOR BREAKDOWN YTD 2012

VALUE VOLUME

8.0%

9.2%

2.1%

37.9%

4.9%

6.8%

0.6%

3.1%

2.8%0.2%

0.9%

6.1%

7.7%

9.7%


Consumer

Business Services

Technology

Financial Services



Construction

Transportation

Media

Leisure

Real Estate

Telecommunications

Agriculture

4.6%

24.5%

2.7%

5.9%

3.8%

5.5%

4.0%

1.7%1.4%

1.2%0.2%

17.2%

10.8%9.4%

7.1%


Consumer

Business Services

Technology

Financial Services



Construction

Transportation

Media

Leisure

Real Estate

Telecommunications

Agriculture

Defence

EUROPE


TREND GRAPHS

EUROPEAN M&A DEAL SIZE BREAKDOWN

VALUE VOLUME

0

10

20

30

40

50

60

70

80

90

100

YTD 2012*201120102009200820072006

<!250m or undisclosed value

!251m-!500m

!501m-!2,000m

!2,001m-!5,000m

>!5,001m

17.6%

23.5%

8.4%

15.9%

34.6%

16.4%

22.3%

8.4%

13.7%

39.2%

14.8%

20.4%

9.1%

17.0%

38.7%

20.0%

24.1%

9.2%

20.3% 17.6%

9.4%

29.7%

20.8%

26.4% 22.5%17.2%

21.8%

30.9%

11.3%

18.8%

35.3%

18.1%

24.7%

9.6%

12.3%

Perc

enta

ge

88

90

92

94

96

98

100

YTD 2012*201120102009200820072006

3.8%

0.9%

3.5%

91.4%

4.0%

0.9%

3.9%

90.8%

2.7%

0.6%

3.2%

93.1%

2.1%

0.6%

2.3%

94.8%

93.1%

2.7%

3.3%

0.7% 0.7%

3.1%

3.0%

93.0%

0.4%0.4% 0.4% 0.3%0.2% 0.2% 0.2%

0.7%

3.2%

3.3%

92.5%

<!250m or undisclosed value

!251m-!500m

!501m-!2,000m

!2,001m-!5,000m

>!5,001m

Perc

enta

ge

25

Mid

dle east &

africa

THE MIDDLE EAST & AFRICA

A MERgERMARkET M&A REpoRT on

Monthly M&A Insider

M&A activity during April in the ME&A region was mainly driven by the long awaited acquisition of the remaining shares in Egyptian Company for Mobile Services (Mobinil) by France Telecom SA for US$3.3bn. other acquisitions in the Energy, Mining & Utilities sector contributed to the largest percentage of deal value in the region, with 43.6% of the market share. This trend will not last however, as an energy research consultancy has predicted that the energy investments in the Middle East are shifting towards north America. The main reason for this is that the Middle East market has been hit by the Arab Spring and the regional stability in countries like Libya, Syria and Egypt. The most active country in the ME&A is South Africa, leading with a deal flow volume of 26 and deal value of US$2.5bn while Israel closely follows with a deal flow volume of 23 and a deal value of US$3.6bn.

France Telecom Tender Offer for Mobinil SharesAfter a long period of talks and disputes, the sale, which was subject to the decisions of the Egyptian Financial Supervisory Authority (EFSA) and of the companies’ respective boards of directors, has been approved. France Telecom has launched a public tender offer to acquire the remaining shares in Mobinil, the Egyptian Company for Mobile Services (ECMS) at Egp 202.5 per share. one reason for delays with this sale included the reaching of agreement terms between France Telecom and its partner orascom Media and Technology Holding SAE.

now that it has finally taken place, France Telecom CEo Stephane Richard has said that he would like to further increase ECMS’s integration in the Egyptian economy through hopefully ensuring that up to 15% of ECMS’s shares are held by Egyptian shareholders.

Expected DealsVarious companies are seeking to acquire targets in the ME&A region where opportunities are high. one of these companies includes pure Chemicals, the India-based private chemical distribution company. Due to the slight drag in chemical consumption demand in India, it is looking to expand into markets such as kenya and South Africa through acquisitions. It estimates the value of the potential acquisition to be InR1.5bn to InR2bn and plans to fund the acquisition via internal accruals and through its debt providers, which include Indian overseas Bank and State Bank of India.

Further opportunity in the ME&A region exists for bidders interested in acquiring two coal mines in Mozambique, which are owned by Coal India Africana. These have an estimated reserve of a billion tons and although the process for two bids stalled last year due to technical failures, CIL will soon launch another tender for bids this year.

DEAL ACTIVITy In AFRICA AnD THE MIDDLE EAST AMoUnTED To US$4.8Bn In ApRIL, A 29.9% InCREASE CoMpARED To MARCH AnD An InCREASE oF 99.8% CoMpARED To THE SAME pERIoD LAST yEAR. THIS SHowS SIgnS oF RECoVERy In THE REgIon, ALTHoUgH THE SITUATIon IS noT yET STABILISED. ACCoRDIng To DELoITTE, M&A ACTIVITy In THE REgIon IS ExpECTED To ConTInUE ITS gRADUAL IMpRoVEMEnT THRoUgHoUT THE REST oF THE yEAR, pARTICULARLy In CoUnTRIES noT IMpACTED By LIqUIDITy ConSTRAInTS LIkE SAUDI ARABIA, ABU DHABI AnD qATAR. THERE SEEM To BE InCREASIng SIgnS THAT ACTIVE FUnDS In THE REgIon ARE REDIRECTIng THEIR FoCUS To TARgET noRTH AFRICA, LEBAnon, JoRDAn AnD IRAq.

26

MIDDLE EAST &

AFRICA

Monthly M&A Insider

TOP DEALS

TOP 10 MIDDLE EASTERN & AFRICAN ANNOUNCED DEALS OF THE MONTH (APR-12) Announced Bidder company Target company Target dominated


1-day before

Deal value(US$m)Revenue EBITDA P/E

12-Apr-12 France Telecom SA Egyptian Company for Mobile Services

TMT Orascom Telecom Media and Technology Holding SAE

2.6 8.2 - 14.4% 3,281

16-Apr-12 Stratasys Inc Objet Limited TMT 4.8 29.2 42.9 - 630

24-Apr-12 Industrial Development Corporation; and Black Economic Empowerment

Scaw South Africa (Pty) Ltd (74.00% stake)


Anglo American Plc - - - - 438

05-Apr-12 Covidien Plc Oridion Systems Ltd Pharma, Medical & Biotech

4.6 33.4 4835.0 75.2% 295

18-Apr-12 Qatari investor (Undisclosed)

Qatar Engineering & Construction Company WLL (41.00% stake)

Construction Qatar First Investment Bank

- - - - 77

02-Apr-12 Gold One International Limited

Ezulwini Mining Company (Pty) Limited


First Uranium Corporation

- - - - 70

24-Apr-12 Zungu Investments Company (Pty) Ltd; and Kwande Group (Pty) Ltd

Spring Lights Gas (Pty) Limited (51.00% stake)


- - - - 46

22-Apr-12 A-Online Capital Ltd Harel Finance Trade & Securities Ltd

Financial Services Harel Insurance Investments and Financial Services Ltd

- - - - 22

18-Apr-12 Gold One International Limited; and Goliath Gold

Pamodzi East Rand Operations


- - - - 9

04-Apr-12 ARB Electrical Wholesalers (Pty) Limited

Industrial Cable Suppliers (Pty) Ltd

Business Services - - - - 7

Based on announced deals, including lapsed and withdrawn bids Based on dominant geography of target being Middle East or Africa Data correct as of 08-May-12


27

MIDDLE EAST &

AFRICA

Monthly M&A Insider

TREND GRAPHS

MIDDLE EASTERN & AFRICAN M&A QUARTERLY TREND

0

5,000

10,000

15,000

20,000

25,000

30,000

35,000

40,000

Q212*

Q112

Q411

Q311

Q211

Q111

Q410

Q310

Q210

Q110

Q409

Q309

Q209

Q109

Q408

Q308

Q208

Q108

Q407

Q307

Q207

Q107

Q406

Q306

Q206

Q106

Valu

e (U

S$m

)


Num

ber of deals

0

20

40

60

80

100

120

140

160


0

1,000

2,000

3,000

4,000

5,000

6,000

7,000

Q212*

Q112

Q411

Q311

Q211

Q111

Q410

Q310

Q210

Q110

Q409

Q309

Q209

Q109

Q408

Q308

Q208

Q108

Q407

Q307

Q207

Q107

Q406

Q306

Q206

Q106


Num

ber of dealsValu

e (U

S$m

)

0

5

10

15

20

25

MIDDLE EASTERN & AFRICAN M&A ANNUAL TREND

MIDDLE EASTERN & AFRICAN M&A ANNUAL PRIVATE EQUITY TREND

0

10

20

30

40

50

60

70

80

90

100

YTD 2012*201120102009200820072006


Valu

e (U

S$bn

)

Num

ber of deals

0

50

100

150

200

250

300

350

400

450

500


0

2

4

6

8

10

12

14

YTD 2012*201120102009200820072006


Valu

e (U

S$bn

)

0

10

20

30

40

50

60

70

Num

ber of deals

MIDDLE EASTERN & AFRICAN M&A QUARTERLY PRIVATE EQUITY TREND

28

MIDDLE EAST &

AFRICA

Monthly M&A Insider

TREND GRAPHS

MIDDLE EASTERN & AFRICAN M&A GEOGRAPHIC BREAKDOWN YTD 2012

MIDDLE EASTERN & AFRICAN M&A SECTOR BREAKDOWN YTD 2012

VALUE

VALUE

VOLUME

VOLUME

4.1%

11.2%

2.6%

2.0%0.2%

16.7%

43.5%

4.0%

15.7%

TMT

Energy, Mining & Utilites

Consumer

Business Services

Financial Services

Construction


Transportation


29.7%

10.1%25.8%

6.7%

3.4%

3.4%

2.2%2.2%

2.2%

1.1% each

South Africa

Israel

United Arab Emirates

Saudi Arabia

Egypt

Nigeria

Democratic Republicof Congo

Ethiopia

Tanzania

Angola

Ghana

Iraq

Kuwait

Libya

Mali

Mauritius

Morocco

Mozambique

Oman

Qatar

Zambia

Zimbabwe

20.6%

15.9%

15.9%

15.9%

9.1%

4.5%

4.5%

4.5%

4.5%2.3% 2.3%

TMT

Energy, Mining & Utilites

Consumer

Business Services

Financial Services

Construction


Transportation


Leisure

Agriculture

18.7%

27.7%

1.3%

9.6%

2.6%0.1%

1.0%1.0%

0.5%0.6%

0.2%

27.0%

7.7%2.0%

South Africa

Israel

United Arab Emirates

Saudi Arabia

Egypt

Nigeria

Democratic Republicof Congo

Ethiopia

Tanzania

Iraq

Mali

Morocco

Mozambique

Qatar

29

MIDDLE EAST &

AFRICA

Monthly M&A Insider

TREND GRAPHS

MIDDLE EASTERN & AFRICAN M&A DEAL SIZE BREAKDOWN

VALUE VOLUME

0

10

20

30

40

50

60

70

80

90

100

YTD 2012201120102009200820072006

12.7%

12.8%

65.7%

13.2%

11.3%

67.1%

18.0%

19.0%

47.6%

19.2%

13.2%

53.1%

68.1%

12.6%

9.4%

17.8%

7.8% 7.5%13.7% 12.9%

8.9%

13.7%

9.1%

58.1%

23.1%

13.1%

7.2%

55.6%

1.0% 0.9% 1.7% 1.6% 1.0% 1.3% 1.0%

<US$14.9m or undisclosed value

US$15m-US$100m

US$101m-US$250m

US$251m-US$500m

>US$501m

Perc

enta

ge

0

10

20

30

40

50

60

70

80

90

100

YTD 2012*201120102009200820072006

33.9%

14.5%

6.2%

9.1%

32.5%

15.4%

5.6%

7.2%

36.3%

11.3%

5.7%3.8%

32.6%

13.1%

4.0%3.4% 6.0%

5.7%

33.7%

10.2%10.8%

6.3%

36.3% 39.3% 42.9%46.9% 44.5%

47.8%

27.9%

7.2%

12.4%

9.0%

50.5%

22.5%

5.6%

<US$14.9m or undisclosed value

US$15m-US$100m

US$101m-US$250m

US$251m-US$500m

>US$501m

Perc

enta

ge


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EXEcuTIvE SAlES

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The following notes pertain to data contained in this publication:

• Deals are included where the deal value is greater than or equal to !5m.

• Where no deal value has been disclosed, deals are included if the turnover of the target is greater than or equal to !10m.

• Deals are included in the graphs and Top Deals in each section based on the dominant geography and dominant sector of the target company. Data underlying the League Tables are based on deals where the bidder, target or parent geography of either is that of the geography in focus.

• *Q2 2012 refers to the period 01-Apr-12 to 30-Apr-12. *YTD 2012 refers to the period 01-Jan-12 to 30-Apr-12.

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