xbma 2013 annual review

8/13/2019 XBMA 2013 Annual Review

1/23

The views expressed herein reflect only the views of XBMAs editorial staff individually and not those of any of

XBMAs founders, academic partners, advisory board members, or others.

XBMA Annual Review2013

Raaj Narayan & Francis Stapleton, Editors


2/23XBMA 1

Global M&A Volume: 1996 2013A N ew N o r m a l ?

Source: Thoms

All figures are inflation-adjusted to 2013 dollars.

0.0

0.5

1.0

1.5

2.0

2.5

3.0

3.5

4.0

4.5

5.0

US$trillions

Global M&A Volume

While total global M&A volume has been relatively consistent over the last four years,hovering around US$ 2.5 trillion per annum, the deal activity making up the $2.5 trillion hasvaried considerably over this period, reflecting a few trends:

Private equity-backed M&A has been gaining steam steadily, growing from 6.3% of

global M&A in 2009 to 15.6% of global M&A in 2013;

Growth of M&A involving emerging economies has outpaced their GDP growth, withChinese domestic M&A showing increasing strength, but inbound and outbound M&Ainvolving emerging economies ebbs and flows based on various exogenous factors;

European M&A has been mixed over the last four years, exceeding $200 billion onlyonce since 2009, and ending 2013 down 16.5% from 2009 levels; and

U.S. share of global M&A continues to grow disproportionately as the recoveryproceeds, on both the domestic and cross-border fronts.


3/23XBMA

1,059

726535 551

762497 501

1,592

975

480 581

703

650524

1,007

864

488

71 0

575

573 71 3

982

548

667

753569

859660

0

500

1,000

1,500

2,000

2,500

3,000

3,500

4,000

4,500

5,000

2007 2008 2009 2010 2011 2012 2013

US$billions

Deal Volume by Quarter

Quarter 1 Quarter 2 Quarter 3 Quarter 4

4,640

2,610

3,112

2,170

2,579 2,3982,595

Global M&A Volume: Q4 Snapshot

Source: Thoms

All figures are inflation-adjusted to 2013 dollars. Data in this report do not include spin-offs announced in 2013 thathave not been completed.

2

Global M&A volume for the first three quarters of 2013 was slightly higher than for thesame period in 2012, but volume in Q4 2013 did not benefit from the same rush of deal-making as was seen following the U.S. elections in Q4 2012. Global M&A volume in Q4

2013 was down 23% as compared to Q4 2012.

Real Estate was the most active sector in Q4 2013, finishing a strong year of deal activity.Energy & Power deal-making was also active in Q4 2013.

After a relatively quiet year, emerging-market acquirers went on a holiday shoppingspree, with six of the top 10 deals for 2013 involving an emerging-market acquirer anddeveloped-market target and announcing in Q4 2013.


4/23XBMA 3

Cross-Border M&A Volume: 2006 2013

Cross-border M&A transactions are defined as those in which the parties are headquartered or based in differentcountries. All figures are inflation-adjusted to 2013 dollars.

Source: Thoms

1.40

2.08

1.19 0.59 0.97 0.92 0.92 0.75

2.77

2.56

1.92

1.58

1.62 1.69 1.661.65

4.17

4.64

3.11

2.17

2.60 2.61 2.582.40

0

1

2

3

4

5

2006 2007 2008 2009 2010 2011 2012 2013

US$trillions

Deal Volume

Cross-Border M&A Domestic M&A

Cross-border M&A volume in 2013 was down 18% from 2012, marking its lowest levelboth in terms of absolute volume and as a percentage of overall volume since 2009,

perhaps reflecting cooling markets in some emerging economies.

Despite a strong fourth quarter, deals involving a developed- and emerging-market

participant fell off in 2013. Notably, deal activity involving both a developed-marketacquirer and an emerging-market target decreased for the third straight year.

Cross-border M&A volume involving a Chinese target or acquirer declined in 2013, withChinese inbound activity reaching its lowest level since 2009.


5/23XBMA 4

Medium and Large M&A Deals: 2005 2013

Source: Thoms

318

424

646

375

201

362 368 364317

526

676

758

494

384

540 520 514548

844

1100

1404

869

585

902 888 878 865

250

500

750

1000

1250

1500

2005 2006 2007 2008 2009 2010 2011 2012 2013

US$billions

Number of Deals > US$ 500 million

Domestic M&A Cross-Border M&A

Domestic M&A accounted for 63% of medium and large deals in 2013, the highestpercentage since 2009. There were more medium and large domestic M&A deals than in

any year since 2007. In contrast, there were only 317 cross-border transactions valued over $500 million in

2013, the second lowest level since 2005.

Of the top 10 deals over $10 billion in 2013, 3 were cross-border.


6/23XBMA 5

Notable Transactions in 2013

Verizonbought the remaining 45% interest it did

not already own inVerizon Wireless fromVodafonein the third largest deal in history, valuedat approximately $130 billion. The deal is thesecond-largest cross-border transaction in historyand the largest cross-border transaction involving aU.S. participant.

Archer-Daniels-Midland Cos $2.2 billion bid forAustralias largest grain handler was blocked by theAustralian Treasurer after it was decided that thetransaction would not be in Australias nationalinterest. The decision to block the deal was the firsttime a U.S. company had been stopped from buying

Australian assets.

Shuanghui International acquired SmithfieldFoods in the largest Chinese acquisition of a U.S.company in history. The deal faced not onlyregulatory review from the Committee for Foreign

Investment in the United States (CFIUS) andcriticism from U.S. lawmakers, but also challengesfrom activist investor Starboard Value LP andshareholder Continental Grain Co, both of whominitially advocated for a breakup of Smithfield beforeagreeing to the deal.


7/23XBMA

M&A Volume by Targets Region

Represents share of global M&A volume based on targets headquarters. All figures are inflation-adjusted to 2013 dollars.

Source: Thoms

2013

Centr al A merica

0.22%

Unit ed Sta tes

41.64%

Centr al A sia

5.48%

A ust ralia/NZ

2.37%

Europe

24.53%

China

11.26%

Mexico

0.85%

India

0.70%

A fr ica /

Middle

East

3.03%South Am erica3.68%

Canada

3.34%

Japan

2.90%

The United States accounted for over 40% of global M&A volume in 2013, 4% aboverecent historical levels, with U.S. participation in seven of the 10 largest deals of 2013 andU.S. domestic deals accounting for half of the 10 largest deals.

European M&A had a down year in 2013, accounting for less than a quarter of global

M&A volume. Only two of the top 10 deals for the year included a European participant.

Despite a drop-off in cross-border transactions involving a Chinese participant, ChineseM&A volume accounted for 11.26% of global M&A volume in 2013 due to a strong andgrowing domestic M&A market.

6

2008 - 2012

Central Am erica

0.10%

Unit ed Sta tes

37.07%

Central Asia

4.50%

A ust ra lia/NZ

5.26%

Europe

28.58%

China5.06%

Mexico

1.07%

India

1.15%

A fr ica/

Middle

East

4.47%

South America

4.47%

Canada

4.65%

Japan

3.62%


8/23XBMA 7

GDP and M&AVolume by Targets Region: 2013

Source: Thomson, I

Region2013 GDP

(US$ trillions)2013 Per Capita

GDP (US$)

Europe 21.7 26,554

United States 16.7 52,839

China 8.9 6,814

Japan 5.0 39,321

India 1.8 1,243

World 73.4 10,444

2013 GDP figures are IMF estimates.

GDP, M&A, and Debt by Region

0%

10%

20%

30%

40%

50%

60%

Europe

UnitedSt

ates

Japa

n

Chin

a

CentralA

sia

Afric

a/Mid

dleEa

st

South

Am

eric

a

Cana

da

CentralA

meric

aIn

dia

Australia

/NZ

Mexic

o0%

50%

100%

150%

200%

250%

GovernmentDebtas%ofGDP

The United States continued to contribute a substantially higher share of global M&Avolume compared to all other regions in 2013. The spread between share of world GDPand global M&A volume for the United States increased by more than 4%.

The United States and China both experienced gains in per capita GDP in 2013, whileEurope, Japan, and India each experienced declines. Overall, world per capita GDP in2013 increased 1.7% from 2012.

Japanese government debt increased by 33% to 243% of GDP in 2013, the first year ofAbenomics, while Japans share of both global GDP and global M&A declined ascompared to 2012.

%

of2013WorldGDP

%of2013GlobalM&A


9/23XBMA

M&A in BRIC Countries: 2013

0

10

20

30

40

5060

70

80

2009 2010 2011 2012 2013

US$billions

2009 2013 Domestic M&A in BRIC Countries

Brazil

Russia

India

China

China experienced dramatic growth in domestic M&A in 2013, increasing by 46% ascompared to 2012.

Inbound M&A to Brazil has increased for each of the last three quarters, from US$2.02

million in Q1 2013 to more than US$10.3 million in Q4 2013.

After reaching a peak of US$61.8 billion in 2012, Chinese outbound M&A dropped toUS$38.2 billion in 2013, and Chinese outbound M&A to North America dropped fromits peak of US$28.3 billion in 2012 to US$13.6 billion in 2013. Chinese inbound M&Adeclined 3% from 2012 to 2013, falling slightly from US$39.9 billion to US$38.7 billion.

Russian domestic M&A volumes returned to their normal levels in 2013 following thespike in domestic volume caused by Rosneftegazs acquisition of TNK-BP in 2012.

0

5

10

15

20

25

30

2009 2010 2011 2012 2013

US$billions

2009 2013 Inbound M&A to BRIC Countries

Brazil

Russia

India

China

Source: Thoms

All figures are inflation-adjusted to 2013 dollars.8


10/23XBMA 9

Trends in M&A Volume byTargets Region: 2009 2013

Source: Thoms


0

100

200

300

400

500

600

700

800

900

1,000

2009 2010 2011 2012 2013

US$b

illions

Asia-Pacific (ex-Japan) Europe North America Global Japan

Global M&A volume ended 2013 on a low note, including a 33% quarterly drop in NorthAmerican deal volume in Q4, despite modest increases in volume in both the Europeanand Asia-Pacific (ex-Japan) regions.

Japanese deal-making was virtually nonexistent in Q4 2013, totaling just over US$1billion, a 90% decrease from the previous quarter.

Both the European and Asia-Pacific regions experienced at least three consecutivequarters of increases in M&A volume in 2013.


11/23XBMA 10

Distressed Deals: 1988 2013

Source: Thoms

All figures are inflation-adjusted to 2013 dollars. Distressed transactions include those in which the target entity

is undergoing restructuring or has reduced the debt on its balance sheet through a bankruptcy sale, a tender offer

or an exchange offer for existing debt securities, or a loan modification. An entity is considered to be undergoing

restructuring if it has publicly confirmed retention of a restructuring advisor, plans to restructure its debt, has

filed for bankruptcy or has defaulted on its debt, has received an S&P or Moodys rating of CCC+/Caa1 or below

before or in reaction to the announcement of a transaction, or its credit facility or debt securities carry a yield of

1,000 bps above that of U.S. Treasuries.

0

25

50

75

100

125

150

175

US$billions

Volume of Distressed Deals

Distressed deal volume totaled only US$30.5 billion in 2013, down 8.5% from 2012.

Distressed deal volume has dropped for the third consecutive year as distressed dealvolumes return to pre-crisis levels.


12/23XBMA 11

Global M&A by Sector: Last 12 Months

Source: Thoms

M&A Volume by Sector

0

100

200

300

400

500

Energ

y&P

ower

Materials

Finan

cials

Ind

ustrials

H

ealth

care

RealE

state

HighT

echn

ology

Con

sumer

Stapl

es

Media

/Enter

tain

ment

Tele

commu

nicatio

ns

Cons

umer

Produ

ctsand

Servi

ces

Retail

US$

billions

Global M&A* Cross-Border M&A

*Includes both domestic and cross-border transactions.

Although Energy & Power continued to lead overall and cross-border deal activity in 2013,Real Estate finished a close second, with global Real Estate M&A volume up 44% from2012, including one of the ten largest deals of the year (Westfield Retail Trust/Westfield

Group Australian/NZ Business) and North American deals of the year (American RealtyCapital Properties Inc/Cole Real Estate Investments).

Telecommunications also had a strong year, boosted by the announcement of Verizonsacquisition of the remaining interest it did not already own in Verizon Wireless fromVodafone, the third largest transaction on record. Overall, Telecommunications M&Avolume was up 122% compared with 2012.

Cross-border activity generally declined in 2013, with only the Healthcare, Real Estate andMedia/Entertainment sectors experiencing increased activity.


13/23XBMA 12

Trends in Global M&A by Sector:Last Four Quarters

Source: Thoms

0

40

80

120

160

200

US$billions

Domestic and Cross-Border M&A

Q1 2013 Q2 2013 Q3 2013 Q4 2013

0

10

20

30

40

50

60

US$bi

llions

Cross-Border M&A

Q1 2013 Q2 2013 Q3 2013 Q4 2013

Energy & Power and Real Estate led Q4 2013 deal volume, while Telecommunications,Media/Entertainment and Retail experienced the largest volume decreases as compared to

Q3 2013. Healthcare and Telecommunications led Q4 2013 cross-border activity, with both sectors

experiencing quarter-over-quarter volume increases of more than 50%.

Cross-border M&A has increased in the Healthcare, Real Estate, High Technology and

Telecommunications sectors for each of the last four quarters.


14/23XBMA 13

Top 10 Global DealsAnnounced in 2013

Source: Thoms

Acquirer* Target*Target

IndustryValue of Deal

(US$mil)Date

Announced

VerizonCommunications Inc(United States)

Vodafones Interest inVerizon Wireless Inc(United Kingdom)

Telecom 130,100 2 Sep 2013

Berkshire HathawayInc/3G CapitalPartners Ltd(United States)

H.J. Heinz Co(United States)

Food andKindredProducts

27,362 14 Feb 2013

Liberty Global Inc(United States)

Virgin Media Inc(United States)

Telecom 25,531 5 Feb 2013

Michael Dell/Silver Lake Partners(United States)

Dell Inc(United States)

Computer andOffice

Equipment24,400 5 Feb 2013

Publicis GroupeSA/Omnicom GroupInc**(France & United States)

Publicis GroupeSA/Omnicom Group Inc(France & United States)

AdvertisingServices

19,331 28 Jul 2013

Comcast Corp(United States)

NBC Universal Media LLC(United States)

Radio andTelevision

BroadcastingServices

16,700 12 Feb 2013

Oi SA(Brazil)

Portugal Telecom SGPSSA(Portugal)

Telecom 15,718 2 Oct 2013

Thermo FisherScientific Inc(United States)

Life Technologies Corp(United States)

Drugs 15,368 15 Apr 2013

Westfield Retail Trust(Australia)

Westfield Group Australian/NZ Business(Australia)

Real Estate;Mortgage

Bankers and

Brokers

14,009 4 Dec 2013

George Weston Ltd(Canada)

Shoppers Drug Mart Corp(Canada)

MiscellaneousRetail Trade

13,579 15 Jul 2013

*Company nationality determined by location of headquarters or by location of target assets.**The transaction was a merger of equals.


15/23


16/23XBMA

Acquirer** Target**Target


(US$mil)Date

Announced

Oi SA(Brazil)

Portugal Telecom SGPS SA(Portugal) Telecom 15,718 2 Oct 2013

ShuanghuiInternational HoldingsLtd(China)

Smithfield Foods Inc(United States)


6,977 29 May 2013

Investor Group(China)

Castle Peak Power Co Ltd(Hong Kong)

Investment &Commodity

Firms, Dealers,Exchanges

3,096 19 Nov 2013

State Grid Corp of

China(China)

SPI (Australia) Assets Pty

Ltd(Australia)

Electric, Gas

and WaterDistribution

2,856 17 May 2013

IPIC(United Arab Emirates)

Coastal Energy Co(United States)

Oil and Gas;PetroleumRefining

2,169 19 Nov 2013

Sinochem Group(China)

Pioneer NaturalResources Shale Assets(United States)


1,700 30 Jan 2013

Del Monte Pacific Ltd(Philippines)

Del Monte Foods Consumer ProductsBusiness(United States)


1,675 10 Oct 2013

Pacific Rubiales EnergyCorp(Colombia)

Petrominerales Ltd(Canada)


1,522 29 Sep 2013

PETRONAS(Malaysia)

Talisman Energy Montney Assets(Canada)


1,433 8 Nov 2013

Banesco BancoUniversal SACA(Venezuela)

NCG Banco SA(Spain)

CommercialBanks, Bank

HoldingCompanies

1,372 18 Dec 2013

Top 10 Deals from Emerging into DevelopedEconomies* Announced in 2013

Source: Thoms

*Developed/Emerging economies are defined by IMF classification, available athttp://www.imf.org/external/pubs/ft/weo/2010/01/weodata/groups.htm .**Company nationality determined by location of headquarters or by location of target assets.

15All figures are inflation-adjusted to 2013 dollars.

0

50

100

150

200

2004 2005 2006 2007 2008 2009 2010 2011 2012 2013

US$billions

Quarter 4

Quarter 3

Quarter 2

Quarter 1

Aggregate Value of Deals from Emerging into Developed Economies
https://www.google.com/url?sa=i&rct=j&q=&esrc=s&frm=1&source=images&cd=&cad=rja&docid=ZgsdyLR-0N4eYM&tbnid=7vmWCcClt-IOtM:&ved=0CAUQjRw&url=https://www.cia.gov/library/publications/the-world-factbook/geos/ae.html&ei=nbZNUpi3BJTY8gTu4YFY&bvm=bv.53537100,d.aWc&psig=AFQjCNEmFmgyzYP774G65OCsxxe_8ujEzQ&ust=1380911130603990https://www.google.com/url?sa=i&rct=j&q=&esrc=s&frm=1&source=images&cd=&cad=rja&docid=ZgsdyLR-0N4eYM&tbnid=7vmWCcClt-IOtM:&ved=0CAUQjRw&url=https://www.cia.gov/library/publications/the-world-factbook/geos/ae.html&ei=nbZNUpi3BJTY8gTu4YFY&bvm=bv.53537100,d.aWc&psig=AFQjCNEmFmgyzYP774G65OCsxxe_8ujEzQ&ust=1380911130603990https://www.google.com/url?sa=i&rct=j&q=&esrc=s&frm=1&source=images&cd=&cad=rja&docid=ZgsdyLR-0N4eYM&tbnid=7vmWCcClt-IOtM:&ved=0CAUQjRw&url=https://www.cia.gov/library/publications/the-world-factbook/geos/ae.html&ei=nbZNUpi3BJTY8gTu4YFY&bvm=bv.53537100,d.aWc&psig=AFQjCNEmFmgyzYP774G65OCsxxe_8ujEzQ&ust=1380911130603990https://www.google.com/url?sa=i&rct=j&q=&esrc=s&frm=1&source=images&cd=&cad=rja&docid=ZgsdyLR-0N4eYM&tbnid=7vmWCcClt-IOtM:&ved=0CAUQjRw&url=https://www.cia.gov/library/publications/the-world-factbook/geos/ae.html&ei=nbZNUpi3BJTY8gTu4YFY&bvm=bv.53537100,d.aWc&psig=AFQjCNEmFmgyzYP774G65OCsxxe_8ujEzQ&ust=1380911130603990https://www.google.com/url?sa=i&rct=j&q=&esrc=s&frm=1&source=images&cd=&cad=rja&docid=ZgsdyLR-0N4eYM&tbnid=7vmWCcClt-IOtM:&ved=0CAUQjRw&url=https://www.cia.gov/library/publications/the-world-factbook/geos/ae.html&ei=nbZNUpi3BJTY8gTu4YFY&bvm=bv.53537100,d.aWc&psig=AFQjCNEmFmgyzYP774G65OCsxxe_8ujEzQ&ust=1380911130603990https://www.google.com/url?sa=i&rct=j&q=&esrc=s&frm=1&source=images&cd=&cad=rja&docid=ZgsdyLR-0N4eYM&tbnid=7vmWCcClt-IOtM:&ved=0CAUQjRw&url=https://www.cia.gov/library/publications/the-world-factbook/geos/ae.html&ei=nbZNUpi3BJTY8gTu4YFY&bvm=bv.53537100,d.aWc&psig=AFQjCNEmFmgyzYP774G65OCsxxe_8ujEzQ&ust=1380911130603990https://www.google.com/url?sa=i&rct=j&q=&esrc=s&frm=1&source=images&cd=&cad=rja&docid=ZgsdyLR-0N4eYM&tbnid=7vmWCcClt-IOtM:&ved=0CAUQjRw&url=https://www.cia.gov/library/publications/the-world-factbook/geos/ae.html&ei=nbZNUpi3BJTY8gTu4YFY&bvm=bv.53537100,d.aWc&psig=AFQjCNEmFmgyzYP774G65OCsxxe_8ujEzQ&ust=1380911130603990http://www.imf.org/external/pubs/ft/weo/2010/01/weodata/groups.htmhttp://en.wikipedia.org/wiki/File:Flag_of_the_People's_Republic_of_China.svghttp://c/NRPortbl/WLRK/ADVFB///upload.wikimedia.org/wikipedia/commons/6/66/Flag_of_Malaysia.svghttp://www.google.com/url?sa=i&rct=j&q=&esrc=s&frm=1&source=images&cd=&cad=rja&docid=RnWIByuLdjGSyM&tbnid=4u8infzR793SfM:&ved=0CAUQjRw&url=http://tradebridgeconsultants.com/country-index/venezuela/&ei=C6jYUsafIoPZkQf7nIAQ&bvm=bv.59568121,d.eW0&psig=AFQjCNFJS0-u3ifPikGhNXGJstgBKzma_g&ust=1390016869694246http://www.google.com/url?sa=i&source=images&cd=&cad=rja&docid=vi0az-13Lt5mSM&tbnid=fNiqGHLR6xdOBM&ved=0CAgQjRw&url=http://en.wikipedia.org/wiki/Flag_of_the_Philippines&ei=EKTYUoW7EsKmkQfC04CgCw&psig=AFQjCNE0lmC4F95MNNyqNCkxevmXWctLaA&ust=1390015888384271http://en.wikipedia.org/wiki/File:Flag_of_the_People's_Republic_of_China.svghttp://en.wikipedia.org/wiki/File:Flag_of_Hong_Kong.svghttp://en.wikipedia.org/wiki/File:Flag_of_the_People's_Republic_of_China.svghttps://www.google.com/url?sa=i&rct=j&q=&esrc=s&frm=1&source=images&cd=&cad=rja&docid=ZgsdyLR-0N4eYM&tbnid=7vmWCcClt-IOtM:&ved=0CAUQjRw&url=https://www.cia.gov/library/publications/the-world-factbook/geos/ae.html&ei=nbZNUpi3BJTY8gTu4YFY&bvm=bv.53537100,d.aWc&psig=AFQjCNEmFmgyzYP774G65OCsxxe_8ujEzQ&ust=1380911130603990http://en.wikipedia.org/wiki/File:Flag_of_the_People's_Republic_of_China.svghttp://www.imf.org/external/pubs/ft/weo/2010/01/weodata/groups.htmhttp://www.imf.org/external/pubs/ft/weo/2010/01/weodata/groups.htm


17/23XBMA



(US$mil)Date

Announced

Verizon

Communications Inc(United States)

Vodafones Interest in

Verizon Wireless Inc(United Kingdom)

Telecom 130,100 2 Sep 2013

Berkshire HathawayInc/3G CapitalPartners Ltd(United States)

H.J. Heinz Co(United States)


27,362 14 Feb 2013

Liberty Global Inc(United States)

Virgin Media Inc(United States)

Telecom 25,531 5 Feb 2013

Michael Dell/Silver Lake Partners

(United States)

Dell Inc(United States)

Computer andOffice

Equipment

24,400 5 Feb 2013

Publicis GroupeSA/OmnicomGroup Inc**(France & United States)

Publicis GroupeSA/Omnicom Group Inc(France & United States)

AdvertisingServices

19,331 28 Jul 2013

Comcast Corp(United States)

NBC Universal Media LLC(United States)

Radio andTelevision

BroadcastingServices

16,700 12 Feb 2013

Thermo FisherScientific Inc

(United States)

Life Technologies Corp(United States)

Drugs 15,368 15 Apr 2013

George Weston Ltd(Canada)

Shoppers Drug Mart Corp(Canada)

MiscellaneousRetail Trade

13,579 15 Jul 2013

ValeantPharmaceuticalsInternational Inc(United States)

Bausch & Lomb Inc(United States)

Measuring,Medical, Photo

Equipment;Clocks

11,648 27 May 2013

American RealtyCapital Properties Inc(United States)

Cole Real EstateInvestments(United States)


Bankers andBrokers

10,402 23 Oct 2013

16

Top 10 North American*Deals Announced in 2013

Source: Thoms

*Deal location determined by location of target; company nationality determined by location of headquarters or location of target assets.**The transaction was a merger of equals.


0

500

1000

1500

2000

2004 2005 2006 2007 2008 2009 2010 2011 2012 2013

US$billions

Quarter 4

Quarter 3

Quarter 2

Quarter 1

Aggregate Value of North American Deals


18/23XBMA



(US$mil)Date

Announced

Westfield Retail Trust(Australia)

Westfield Group Australian/NZ Business(Australia)

Real Estate;

MortgageBankers and

Brokers

14,009 4 Dec 2013

Applied Materials(United States)

Tokyo Electron Ltd(Japan)

Machinery 6,987 24 Sep 2013

Mitsubishi UFJFinancial Group Inc(Japan)

Bank of Ayudhya PCL(Thailand)


HoldingCompanies

5,315 2 Jul 2013

Inner Mongolian BaotouSteel Union Co(China)

Baotou Iron & SteelGroup Co Assets(China)

Metal and

Metal Products

4,916 7 Nov 2013

Industry FundsManagement Pty Ltdand Other Investors(Australia)

Port Botany(Australia)

Transportationand Shipping

4,527 12 Apr 2013

Beijing ZhongchuangTelecom Test Co Ltd(China)

Beijing Xinwei TelecomTechnology Co Ltd(China)

Communi-cations

Equipment4,318 27 Sep 2013

Foshan Shunde MideaInvestment Holding Co

Ltd(China)

GD Midea Holding CoLtd

(China)

Electronic andElectrical

Equipment

4,088 1 Apr 2013

CP ALL PCL(Thailand)

Siam Makro PCL(Thailand)

Retail Trade-Food Services

4,045 23 Apr 2013

Total SA(France)

InterOil Corp Petroleum RetentionLicense 15(Papua New Guinea)


3,600 5 Dec 2013

Unilever PLC(United Kingdom)

Hindustan Unilever Ltd(India)

ConsumerStaples

3,573 30 Apr 2013

17

Top 10 Asian-Pacific*Deals Announced in 2013

Source: Thoms

*Deal location determined by location of target; company nationality determined by location of headquarters or location of target assets.


0

200

400

600

800

2004 2005 2006 2007 2008 2009 2010 2011 2012 2013

US$billions

Quarter 4

Quarter 3

Quarter 2

Quarter 1

Aggregate Value of Asian-Pacific Deals
http://en.wikipedia.org/wiki/File:Flag_of_India.svghttp://en.wikipedia.org/wiki/File:Flag_of_the_People's_Republic_of_China.svghttp://en.wikipedia.org/wiki/File:Flag_of_the_People's_Republic_of_China.svghttp://en.wikipedia.org/wiki/File:Flag_of_the_People's_Republic_of_China.svghttp://en.wikipedia.org/wiki/File:Flag_of_the_People's_Republic_of_China.svghttp://en.wikipedia.org/wiki/File:Flag_of_the_People's_Republic_of_China.svghttp://en.wikipedia.org/wiki/File:Flag_of_the_People's_Republic_of_China.svghttp://timdyer.ksbc.org.au/wp-content/uploads/2011/03/Japanese_flag.jpghttp://timdyer.ksbc.org.au/wp-content/uploads/2011/03/Japanese_flag.jpg


19/23XBMA 18

Top 10 European*Deals Announced in 2013

*Deal location determined by location of target; company nationality determined by location of headquarters or location of target assets.

Source: Thoms



(US$mil)Date

Announced

Verizon

Communications Inc(United States)

Vodafones Interest in

Verizon Wireless Inc(United Kingdom)

Telecom 130,100 2 Sep 2013

Oi SA(Brazil)

Portugal Telecom SGPSSA(Portugal)


Government of France(France)

Groupe Caisse des Depots& Consignations SMEFinancing Business(France)

CreditInstitutions

11,708 12 Jul 2013

TelefonicaDeutschland Holding(Germany)

E-Plus Mobilfunk GmbH &Co KG(Germany)

Telecom 11,435 23 Jul 2013

Vodafon Vierte(Germany)

Kabel DeutschlandHolding AG(Germany)

Radio andTelevision

BroadcastingStations

11,434 12 Jun 2013

Oak Leaf BV(Netherlands)

DE Master Blenders 1753BV(Netherlands)


8,620 28 Mar 2013

Perrigo Co(United States)

Elan Corp PLC(Republic of Ireland)

Drugs 6,535 29 Jul 2013

Microsoft Corp(United States)

Nokia SNS Reaal NV Devices & ServicesBusiness(Finland)

Communi-cations

Equipment4,992 3 Sep 2013

Dragonfly GmbH & CoKgaA(Germany)

Celesio AG(Germany)

WholesaleTrade-

NondurableGoods

4,850 24 Oct 2013

Novy Investments Ltd(Cyprus)

RN Holding(Russian Federation)


4,727


0

500

1000

1500

2000

2004 2005 2006 2007 2008 2009 2010 2011 2012 2013

US$billions

Quarter 4

Quarter 3

Quarter 2

Quarter 1

Aggregate Value of European Deals
http://upload.wikimedia.org/wikipedia/commons/b/ba/Flag_of_Germany.svghttp://upload.wikimedia.org/wikipedia/commons/b/ba/Flag_of_Germany.svghttp://upload.wikimedia.org/wikipedia/commons/b/ba/Flag_of_Germany.svghttp://upload.wikimedia.org/wikipedia/commons/b/ba/Flag_of_Germany.svghttp://upload.wikimedia.org/wikipedia/commons/b/ba/Flag_of_Germany.svghttp://upload.wikimedia.org/wikipedia/commons/b/ba/Flag_of_Germany.svghttps://www.google.com/url?sa=i&rct=j&q=&esrc=s&frm=1&source=images&cd=&cad=rja&docid=34VSDT0tOsmLbM&tbnid=SdV-EAYfGsQqHM:&ved=0CAUQjRw&url=https://www.cia.gov/library/publications/the-world-factbook/geos/tw.html&ei=T2JXUrGQEPSz4APl5oDoBA&bvm=bv.53899372,d.dmg&psig=AFQjCNHkjt4I6-eW-7-WKgioujJ75qG52A&ust=1381544897696669


20/23XBMA 19

Top 10 Inbound Chinese DealsAnnounced in 2013



(US$mil)Date

Announced

Svenska Cellulosa AB

SCA(Sweden)

Vinda International

Holdings Ltd(Hong Kong)

Paper andAllied Products 1,284 9 Sep 2013

Undisclosed Acquirer(Unknown)

Xiamen InternationalBank(China)


HoldingCompanies

910 17 Apr 2013

Fortune REIT(Singapore)

Tin Shui WaiDevelopment Ltd(China)


Bankers andBrokers

754 30 Jul 2013

LOreal SA(France)

Magic Holdings

International Ltd(China)

Soaps,Cosmetics, andPersonal-Care

Products

718 15 Aug 2013

Stryker Corp(United States)

Trauson Holdings Co Ltd(China)

WholesaleTrade-Durable

Goods652 17 Jan 2013

AXA SA(France)

Tianping Auto InsuranceCo Ltd(China)

Insurance 631 24 Apr 2013

Hershey Co(United States)

Shanghai Golden MonkeyFood(China)


584 19 Dec 2013

Whirlpool Corp(United States)

Hefei Rongshida SanyoElectric Co(China)


Equipment555 13 Aug 2013

Investor Group(United States)

AsianInfo-Linkage Inc(China)

BusinessServices

546 13 May 2013

Investor Group(Singapore)

Equity Rainbow II Pte Ltd(China)


Bankers andBrokers

529 14 Feb 2013

*Company nationality determined by location of headquarters or location of target assets.

Source: ThomsAll figures are inflation-adjusted to 2013 dollars.

0

10

20

30

40

2004 2005 2006 2007 2008 2009 2010 2011 2012 2013

US$billions

Quarter 4

Quarter 3

Quarter 2

Quarter 1

Aggregate Value of Inbound Chinese Deals
https://www.google.com/url?sa=i&rct=j&q=&esrc=s&frm=1&source=images&cd=&cad=rja&docid=34VSDT0tOsmLbM&tbnid=SdV-EAYfGsQqHM:&ved=0CAUQjRw&url=https://www.cia.gov/library/publications/the-world-factbook/geos/tw.html&ei=T2JXUrGQEPSz4APl5oDoBA&bvm=bv.53899372,d.dmg&psig=AFQjCNHkjt4I6-eW-7-WKgioujJ75qG52A&ust=1381544897696669https://www.google.com/url?sa=i&rct=j&q=&esrc=s&frm=1&source=images&cd=&cad=rja&docid=34VSDT0tOsmLbM&tbnid=SdV-EAYfGsQqHM:&ved=0CAUQjRw&url=https://www.cia.gov/library/publications/the-world-factbook/geos/tw.html&ei=T2JXUrGQEPSz4APl5oDoBA&bvm=bv.53899372,d.dmg&psig=AFQjCNHkjt4I6-eW-7-WKgioujJ75qG52A&ust=1381544897696669https://www.google.com/url?sa=i&rct=j&q=&esrc=s&frm=1&source=images&cd=&cad=rja&docid=34VSDT0tOsmLbM&tbnid=SdV-EAYfGsQqHM:&ved=0CAUQjRw&url=https://www.cia.gov/library/publications/the-world-factbook/geos/tw.html&ei=T2JXUrGQEPSz4APl5oDoBA&bvm=bv.53899372,d.dmg&psig=AFQjCNHkjt4I6-eW-7-WKgioujJ75qG52A&ust=1381544897696669https://www.google.com/url?sa=i&rct=j&q=&esrc=s&frm=1&source=images&cd=&cad=rja&docid=34VSDT0tOsmLbM&tbnid=SdV-EAYfGsQqHM:&ved=0CAUQjRw&url=https://www.cia.gov/library/publications/the-world-factbook/geos/tw.html&ei=T2JXUrGQEPSz4APl5oDoBA&bvm=bv.53899372,d.dmg&psig=AFQjCNHkjt4I6-eW-7-WKgioujJ75qG52A&ust=1381544897696669https://www.google.com/url?sa=i&rct=j&q=&esrc=s&frm=1&source=images&cd=&cad=rja&docid=34VSDT0tOsmLbM&tbnid=SdV-EAYfGsQqHM:&ved=0CAUQjRw&url=https://www.cia.gov/library/publications/the-world-factbook/geos/tw.html&ei=T2JXUrGQEPSz4APl5oDoBA&bvm=bv.53899372,d.dmg&psig=AFQjCNHkjt4I6-eW-7-WKgioujJ75qG52A&ust=1381544897696669http://en.wikipedia.org/wiki/File:Flag_of_the_People's_Republic_of_China.svghttps://www.google.com/url?sa=i&rct=j&q=&esrc=s&frm=1&source=images&cd=&cad=rja&docid=34VSDT0tOsmLbM&tbnid=SdV-EAYfGsQqHM:&ved=0CAUQjRw&url=https://www.cia.gov/library/publications/the-world-factbook/geos/tw.html&ei=T2JXUrGQEPSz4APl5oDoBA&bvm=bv.53899372,d.dmg&psig=AFQjCNHkjt4I6-eW-7-WKgioujJ75qG52A&ust=1381544897696669http://en.wikipedia.org/wiki/File:Flag_of_the_People's_Republic_of_China.svghttp://en.wikipedia.org/wiki/File:Flag_of_the_People's_Republic_of_China.svghttp://en.wikipedia.org/wiki/File:Flag_of_Hong_Kong.svghttp://en.wikipedia.org/wiki/File:Flag_of_the_People's_Republic_of_China.svghttp://en.wikipedia.org/wiki/File:Flag_of_the_People's_Republic_of_China.svghttp://en.wikipedia.org/wiki/File:Flag_of_the_People's_Republic_of_China.svghttp://en.wikipedia.org/wiki/File:Flag_of_the_People's_Republic_of_China.svghttp://en.wikipedia.org/wiki/File:Flag_of_the_People's_Republic_of_China.svghttp://en.wikipedia.org/wiki/File:Flag_of_the_People's_Republic_of_China.svg


21/23XBMA 20

Top 10 Outbound ChineseDeals Announced in 2013


Source: Thoms



(US$mil)Date

Announced

Shuanghui

International HoldingsLtd(China)

Smithfield Foods Inc(United States)

Food and

KindredProducts

6,977 29 May 2013

CNPC(China)

Kashagan Oilfield(Kazakhstan)


5,000 7 Sep 2013

CNPC(China)

ENI East Africa SpA(Mozambique)


4,210 13 Mar 2013

Sinopec Group

(China)

Apache Corp Egyptian

Oil and Gas Assets(Egypt)


2,950 29 Aug 2013

State Grid Corp ofChina(China)

SPI (Australia) Assets PtyLtd(Australia)

Electric, Gasand Water

Distribution2,856 17 May 2013

CNPC(China)

Petrobras Energia Peru SA(Peru)


2,600 13 Nov 2013

China Investment Corp(China)

Uralkali(Russian Federation)

Chemicals andAllied Products

2,000 9 Nov 2013

Sinochem Group(China)

Pioneer Natural Resources Shale Assets(United States)


1,700 30 Jan 2013

China NationalPetroleom Corp(China)

Marathon Oil Corp Offshore Block 31(Angola)


1,520 21 Jun 2013

Bohai Leasing Co Ltd(China)

Seaco SRL(Barbados)

Transportationand Shipping

1,324 30 Sep 2013


0

20

40

60

80

2004 2005 2006 2007 2008 2009 2010 2011 2012 2013

US$billions

Quarter 4

Quarter 3

Quarter 2

Quarter 1

Aggregate Value of Outbound Chinese Deals
http://en.wikipedia.org/wiki/File:Flag_of_the_People's_Republic_of_China.svghttp://en.wikipedia.org/wiki/File:Flag_of_the_People's_Republic_of_China.svghttp://en.wikipedia.org/wiki/File:Flag_of_the_People's_Republic_of_China.svghttp://en.wikipedia.org/wiki/File:Flag_of_the_People's_Republic_of_China.svghttp://en.wikipedia.org/wiki/File:Flag_of_the_People's_Republic_of_China.svghttp://en.wikipedia.org/wiki/File:Flag_of_the_People's_Republic_of_China.svghttp://en.wikipedia.org/wiki/File:Flag_of_the_People's_Republic_of_China.svghttp://en.wikipedia.org/wiki/File:Flag_of_the_People's_Republic_of_China.svghttp://en.wikipedia.org/wiki/File:Flag_of_the_People's_Republic_of_China.svghttp://en.wikipedia.org/wiki/File:Flag_of_the_People's_Republic_of_China.svg


22/23XBMA 21

Top 10 Inbound Indian DealsAnnounced in 2013

Source: Thoms



(US$mil)Date

Announced

Unilever PLC(United Kingdom)

Hindustan Unilever Ltd(India)

Soaps,

Cosmetics andPersonal-Care

Products

3,573 30 Apr 2013

Mylan Inc(United States)

Agila Specialties Pvt Ltd(India)

Drugs 1,850 27 Feb 2013

Vodafone Group PLC(United Kingdom)

Vodafone India Ltd(India)


Qatar Foundation QSC

(Qatar)

Bharti Airtel Ltd

(India)

Telecom 1263 3 May 2013

Toshiba Corp(Japan)

Vijai Electricals Ltd T&DBusiness(India)


Equipment200 10 Sep 2013

Undisclosed Acquirer(Unknown)

CandyDate Jobs India(India)

BusinessServices

190 25 Jan 2013

Telenor ASA(Norway)

TelewingsCommunications ServicesPvt Ltd(India)

Telecom 174 14 Jun 2013

Etihand Airways PJSC(United Arab Emirates)

Jet Privilege Pvt Ltd(India)

BusinessServices

150 24 Feb 2013

Aliaxis SA(Belgium)

Ashirvad Pipes Pvt Ltd(India)

Metal andMetal Products

146 20 Feb 2013

Instituto SectorialPromocion(Spain)

Mahindra Systech(India)

TransportationEquipment

134 15 Jun 2013



0

10

20

30

40

2004 2005 2006 2007 2008 2009 2010 2011 2012 2013

US$billions

Quarter 4

Quarter 3

Quarter 2

Quarter 1

Aggregate Value of Inbound Indian Deals
http://timdyer.ksbc.org.au/wp-content/uploads/2011/03/Japanese_flag.jpghttp://en.wikipedia.org/wiki/File:Flag_of_India.svghttp://en.wikipedia.org/wiki/File:Flag_of_India.svghttp://en.wikipedia.org/wiki/File:Flag_of_India.svghttp://en.wikipedia.org/wiki/File:Flag_of_India.svghttp://en.wikipedia.org/wiki/File:Flag_of_India.svghttp://en.wikipedia.org/wiki/File:Flag_of_India.svghttp://en.wikipedia.org/wiki/File:Flag_of_India.svghttp://en.wikipedia.org/wiki/File:Flag_of_India.svghttp://en.wikipedia.org/wiki/File:Flag_of_India.svghttp://en.wikipedia.org/wiki/File:Flag_of_India.svg


23/23

Top 10 Outbound Indian DealsAnnounced in 2013




(US$mil)Date

Announced

Oil and Natural Gas

Corp Ltd(India)

Rovuma Offshore Area(Mozambique)

Oil and Gas;

PetroleumRefining

2,640 25 Aug 2013

Oil and Natural GasCorp Ltd(India)

Videocon MozambiqueRovuma 1(Mozambique)


2,475 25 Jun 2013

Lodha Group(India)

MacDonald House(United Kingdom)


Bankers andBrokers

490 28 Nov 2013

BC Jindal Group(India)

Exxonmobil Chemical Co

BOPP(United States)

Chemicals and

Allied Products 235 26 Oct 2012

Tata Sons Ltd(India)

Alti SA(France)

BusinessServices

98 9 Apr 2013

Wipro Ltd(India)

Opus Capital Markets(United States)

BusinessServices

75 2 Dec 2013

Mahyco(India)

Quton Seed Co(Zimbabwe)

Agriculture,Forestry, and

Fishing

40 14 Nov 2013

Tata Motors Ltd(India)

Cambric Corp(United States)

BusinessServices

33 25 Apr 2013

Satyam ComputerServices Ltd(India)

Comlex IT(Brazil)

BusinessServices

30 15 Feb 2013

Shriram Group(India)

Shriram EPC (Singapore)Pte Ltd(Singapore)

BusinessServices

27 22 Feb 2013

10

20

30

40

US$billions

Quarter 4

Quarter 3

Quarter 2

Quarter 1

Aggregate Value of Inbound Indian Deals
http://en.wikipedia.org/wiki/File:Flag_of_India.svghttp://en.wikipedia.org/wiki/File:Flag_of_India.svghttp://en.wikipedia.org/wiki/File:Flag_of_India.svghttp://en.wikipedia.org/wiki/File:Flag_of_India.svghttp://en.wikipedia.org/wiki/File:Flag_of_India.svghttp://en.wikipedia.org/wiki/File:Flag_of_India.svghttp://en.wikipedia.org/wiki/File:Flag_of_India.svghttp://en.wikipedia.org/wiki/File:Flag_of_India.svghttp://en.wikipedia.org/wiki/File:Flag_of_India.svghttp://en.wikipedia.org/wiki/File:Flag_of_India.svg

xbma 2013 annual review

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