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M&A activity pushes back towards pre-crash highs

Deals on Monday took this year's M&A total above 2014

Global merger and acquisition activity has taken a step back towards pre-crash highs after topping last year's tally, it emerged on Tuesday.

Record levels of 2007 are now in sight after another "Merger Monday" of deals pushed the total value of M&A business this year to US$3.3trln, specialist M&A publication Mergermarket said.

On Monday, 28 deals worth US$35.7bn were announced, outstripping 2014's US$3.27trln two months before the end of the year.

Three of Monday’s deals broke the US$5bn threshold with the largest being Visa (NYSE:V) and Visa Europe Ltd joining forces as a single entity in a US$18.1bn deal.

That was followed by Activation Blizzard (NASDAQ:ATV) acquiring King Digital Entertainment (NYSE:KING), which owns the Candy Crush game, for US$5.9bn.

Drug group Shire (LON:SHP) also announced a takeover of Ireland-based Dyax Corp (NASDAQ:DYAX) for US$5.1bn.

The total is about a tenth short of the 2007 tally of US$3.78trln and several expected deals remain in the pipeline, Mergermarket said.

Those include the planned tie-up between brewers SABMiller (LON:SAB) and Anheuser-Busch InBev and a possible deal between US drug company Pfizer (NYSE:PFE) and Allergan (NYSE:AGN).

The pharma, medical & biotech sector has already reached a record-breaking US$397.2bn of deals this year.

Speculation also persists about potential mega-deals in telecoms as fixed line operators pursue mobile companies and vice versa.

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