Market Insights Financial Corporate Finance

Mergers and Acquisitions - Europe

Europe

The transaction value in the Mergers and Acquisitions market is projected to reach €0.62tn in 2024.
It is expected to show an annual growth rate (CAGR 2024-2025) of -12.90% resulting in a projected total amount of €0.54tn by 2025.
The average transaction value in the Mergers and Acquisitions market amounts to €195.60m in 2024.
From a global comparison perspective, it is shown that the highest transaction value is reached in the United States (€1,260.00bn in 2024).

Mercado

Región

Comparación de regiones

Moneda

Analyst Opinion

The Mergers and Acquisitions market in Europe is experiencing a significant uptrend in activity.

Customer preferences: European investors are increasingly seeking cross-border deals to diversify their portfolios and gain access to new markets and technologies. They are also showing a preference for strategic acquisitions that can provide synergies and operational efficiencies, rather than purely financial transactions.

Trends in the market: In Germany, there is a notable trend of mid-sized companies engaging in M&A activities to gain a competitive edge in the global market. These companies are looking to expand their footprint internationally and enhance their technological capabilities through acquisitions of innovative startups.

Local special circumstances: France is witnessing a surge in M&A deals driven by government initiatives to boost foreign investments and support the growth of domestic companies. The country's strategic industries, such as technology and healthcare, are attracting significant interest from both local and foreign investors, leading to a flurry of M&A transactions.

Underlying macroeconomic factors: The overall economic stability and favorable regulatory environment in Europe are fostering a conducive atmosphere for M&A deals. Low interest rates and ample liquidity in the financial markets are also encouraging companies to pursue acquisitions as a means of growth and expansion. Additionally, the uncertainty surrounding Brexit has prompted companies to seek M&A opportunities as a way to mitigate risks and secure their market positions in the region.

Methodology

Data coverage:

Figures are based on the revenue generated by the Investment Banking market, as well as the transaction value, the number of transactions, and the average transactions size of the Mergers and Acquisitions (M&As) and Initial Public Offerings (IPOs) markets.

Modeling approach / Market size:

Market sizes are determined by a bottom-up approach and are based on a specific rationale for each market. As a basis for evaluating markets, we use market research and analysis, as well as data from annual financial reports. Furthermore, we use relevant key market indicators and data from country-specific associations and national data bureaus, such as GDP, wealth per capita, and total investment (% of GDP). This data helps us to estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the particular market. In this market, we use the HOLT-damped Trend method to forecast future development. The main drivers are GDP per capita and total investment (% of GDP).

Additional Notes:

The market is updated twice per year in the event that market dynamics change.