This edition of the HGM Tracker shows that confidence is still hindering deal volumes with cross-border acquisitions involving high growth markets maintaining their downward trajectory during the first half of 2014, despite the rising confidence in many developed markets.
The number of deals between developed market acquirers and high growth market targets (D2H) fell to its lowest level since before 2005. It suggests that the relative attractiveness of acquisitions in higher growth markets is diminishing as the potential returns available in developed markets improve.
Deals involving high growth market acquisitions in developed markets (H2D) also decreased, although not as dramatically as D2H deals, as did deals where both acquirer and target were based in high growth markets (H2H).
The HGM Tracker looks at deal flows between 15 developed economies (or groups of economies) and 13 high growth economies (or groups of economies). The Tracker is produced every 6 months to give an up-to-date picture of cross-border merger and acquisition activity, with the current edition featuring deals between January and June 2014.
© 2016 KPMG International Cooperative (“KPMG International”), a Swiss entity. Member firms of the KPMG network of independent firms are affiliated with KPMG International. KPMG International provides no client services. No member firm has any authority to obligate or bind KPMG International or any other member firm vis-à-vis third parties, nor does KPMG International have any such authority to obligate or bind any member firm. All rights reserved.