Q2 2019 Intralinks Deal Flow Predictor: Sluggish Outlook for European M&A

Southern Europe and Middle East offset Brexit concerns

11 February 2019

Intralinks Deal Flow Predictor

The Q2 2019 issue of the Intralinks Deal Flow Predictor report forecasts no growth in EMEA M&A announcements in H1 2019: the number of announced M&A deals is expected to fall slightly by 1 percent year-over-year (YOY), within a range of  8 percent to 8 percent.

Dealmakers wanting to know the future of EMEA M&A six months ahead of everybody else can read the report to find out which countries and sectors are nevertheless expected to lead, and lag, any growth in M&A announcements in H1 2019.

Worldwide, the big picture is about slowing growth. On the heels of a decline in worldwide M&A announcements in H2 2018 and a slowdown in early-stage M&A activity in Q4 2018, our forecast for H1 2019 is for a 2 percent year-over-year (YOY) increase in the number of worldwide announced M&A deals.

Going forward, dealmakers face considerable headwinds in 2019 including: a slowing global economy, partly driven by the trade war between the U.S. and China; rising interest rates; depressed global equity markets (which fell 10 percent in 2018); sky-high M&A valuation levels; and increasing nationalism and protectionism against cross-border M&A.

One support to M&A activity could come from the wall of private equity dry powder, estimated at $1 trillion+, from recent record fundraisings. The flip side: increased competition for strategic acquirers from deal-hungry financial sponsors.

Find out more in the Q2 2019 edition of the Intralinks Deal Flow Predictor. Independently verified as a highly accurate six-month forecast of mergers and acquisitions activity, the Intralinks Deal Flow Predictor is compiled by tracking worldwide early-stage M&A transactions that are in preparation or have begun due diligence.

Download your copy here.

Along with our independently verified forecasts of M&A activity in H1 2019 by region and sector, this issue of the Intralinks Deal Flow Predictor includes a spotlight feature on Britain’s departure from the E.U. and its potential impact on M&A activity, including the results of our recent Brexit poll of global dealmakers.

Laurent Sultan

Laurent Sultan is Senior Vice President of Sales for Europe, the Middle East & Africa at Intralinks.