Outlook strong for Aussie M&A

In its third annual Asia Pacific M&A Review, global law firm Herbert Smith Freehills said the outlook for mergers and acquisitions in Australia will remain strong throughout 2016.

“Factors driving M&A activity in 2016 will be the significant pools of foreign capital now available to deploy and the increasing levels of confidence fostered by the success of various mega deals in 2015," it said.

“The majority of activity is expected to come from the resources and financial services sectors."

In 2015, Australian M&A increased by over 200 per cent in terms of the value of announced transactions compared to 2014.

“Last year was big for Asia Pacific M&A, with sustained activity levels throughout the year – particularly in Australia, China, Hong Kong and South Korea – and a number of multi-billion mega deals helping to push the total value of announced deals to over US$1 trillion," Andrew Pike, Herbert Smith Freehills' head of corporate for Australia, said. 

Across the Asia Pacific, financial services, property, energy and resources sectors are expected to create “significant deal flow” throughout the year. The uptake in new technologies is also set to increase profitability for technology suppliers and lead to a new wave of IPOs, the law firm noted.

Herbert Smith Freehills' head of corporate for Asia, Austin Sweeney, said despite the challenges in equity markets and low commodity prices, deal-makers in the region have “much to look forward to”.

[Related: KPMG issues M&A predictions]

Outlook strong for Aussie M&A

>In its third annual Asia Pacific M&A Review, global law firm Herbert Smith Freehills said the outlook for mergers and acquisitions in Australia will remain strong throughout 2016.

“Factors driving M&A activity in 2016 will be the significant pools of foreign capital now available to deploy and the increasing levels of confidence fostered by the success of various mega deals in 2015," it said.

“The majority of activity is expected to come from the resources and financial services sectors."

In 2015, Australian M&A increased by over 200 per cent in terms of the value of announced transactions compared to 2014.

“Last year was big for Asia Pacific M&A, with sustained activity levels throughout the year – particularly in Australia, China, Hong Kong and South Korea – and a number of multi-billion mega deals helping to push the total value of announced deals to over US$1 trillion," Andrew Pike, Herbert Smith Freehills' head of corporate for Australia, said. 

Across the Asia Pacific, financial services, property, energy and resources sectors are expected to create “significant deal flow” throughout the year. The uptake in new technologies is also set to increase profitability for technology suppliers and lead to a new wave of IPOs, the law firm noted.

Herbert Smith Freehills' head of corporate for Asia, Austin Sweeney, said despite the challenges in equity markets and low commodity prices, deal-makers in the region have “much to look forward to”.

[Related: KPMG issues M&A predictions]

Outlook strong for Aussie M&A

Taylee Lewis

Last Updated: 06 October 2020 Published: 29 February 2016

Latest News

Regional housing values dip over latest quarter: CoreLogic

07:15

Australia’s regional homes are following trends observed in capital cities, with prices dropping by 20 bps over the three months to July. ...

CBA announces new group exec for technology, information

07:15

A new group executive for technology and group chief information officer has been announced at the Commonwealth Bank, replacing Pascal Boill...

Mortgage demand continues to fall, according to latest Equifax data

Aug 18 2022

Home loan applications continue to decline, according to the latest Equifax data.  ...