In corporate finance, mergers and acquisitions (M&A) are transactions in which the ownership of companies, other business organisations, or their operating units are transferred or consolidated with other entities.
Mergers and acquisitions never reached the levels our experts predicted, but the year is still shaping up to be the best year for United States deal activity.
Although most M&A deals ultimately fail to create value for shareholders down the road, it’s hard to say that the economy or markets are truly healthy without them — and that’s not just because investment bankers and corporate lawyers need to get paid.
Businesses don’t do much wheeling and dealing when markets and the economy are in a slump. A pickup in M&A deal activity is a sign of confidence — and investor psychology are as critical as anything to ensuring better times down the road.
Despite notching one of the biggest M&A deals on record, United States M&A deal activity cleared billions, according to Dealogic. That’s a 39% increase over the same period a year ago — and the highest nine-month total since 2008.
Top 10 Biggest M&A Deals Of 2017
- Applied Materials (AMAT) Buys Tokyo Electron (TOELY), $10 billion
- Spectra Energy Partners (SEP) Buys Spectra Energy Corp.’s (SE), $9.8 billion
- American Airlines (AAMRQ) Buys US Airways (LCC), $11 billion
- Thermo Fisher Scientific (TMO) Buys Life Technologies (LIFE), $13 billion
- Liberty Global (LBTYA) Buys Virgin Media, $16 billion
- Publicis Groupe (PUBGY) Buys Omnicom Group (OMC), $17 billion
- Comcast (CMCSA) Buys NBC Universal Media from General Electric (GE), $17 billion
- Michael Dell and Private Equity Firm Silverlake Buy Dell, $25 billion
- Berkshire Hathaway (BRK.B) and 3G Partners Buy H.J. Heinz, $23 billion
- Verizon (VZ) Buys Out Verizon Wireless Stake from Vodafone (VOD), $130 billion