Boosted by America Online_s mega-offer for Time Warner, corporate merger activity is off to a fast start this year in dollar terms.
Published:
3 April 2000 y., Monday
Yet deal activity overall is running at the slowest pace since 1995. Through Tuesday, 2,270 mergers involving U.S. companies have been announced this year with a dollar value of $537 billion, according to Thomson Financial Securities Data.
The dollar total is already the strongest for any first quarter and is the second-biggest overall, after the $677 billion of deals announced in the second quarter of 1998. But the number of deals is the lowest for any quarter since the second quarter of 1995. Since peaking at 3,409 announced deals in the third quarter of 1998, the quarterly totals have declined fairly steadily. But if the dwindling number of obvious bargains means potential buyers are finding less to buy, the deals are bigger than ever. The average size of deals announced in the first quarter is $236 million, or $156 million not including AOL-Time Warner. That compares with an average size of $155 million for all of 1999 and $134 million in 1998. As in the case of AOL-Time Warner, most mergers are stock-for-stock transactions. Deals using cash as payment have accounted for only 24 percent of the value of deals announced this quarter. By contrast, 10 years ago cash deals and stock deals were split nearly evenly.
Copying, publishing, announcing any information from the News.lt portal without written permission of News.lt editorial office is prohibited.
The most popular articles
The EBRD is supporting the modernisation of transport infrastructure in Serbia with a €150 million sovereign loan to finalise the construction of a new motorway section along the strategic Corridor X.
more »
The Executive Board of the International Monetary Fund (IMF) today completed the first review of Romania’s economic performance under a program supported by a 24-month Stand-By Arrangement (SBA).
more »
The Executive Board of the International Monetary Fund (IMF) today approved a three-year, SDR 13.57 million (about US$21.5 million) arrangement under the Poverty Reduction and Growth Facility (PRGF) for the Union of the Comoros.
more »
The Executive Board of the International Monetary Fund (IMF) today completed the second review of Mongolia's economic performance under a program supported by an 18-month Stand-By Arrangement (SBA).
more »
Parex banka has established a subsidiary, SIA NIF (“Nekustamo īpašumu fonds”, or “Real Estate Fund”), which will professionally manage assets that are not related to the Bank’s core business.
more »
In his address at the Lithuanian-Belarusian Business Forum “Belarus and Baltic States: new prospects for cooperation”, Prime Minister Andrius Kubilius has pointed out that Lithuania sees Belarus as creating its future in Europe...
more »
JDRF Employs VoIP and Web-Based Video Collaboration Enabled by Cisco for More Effective Teamwork Among Employees and Constituents.
more »
On 16 September 2009, AB Bank SNORAS group finished the transaction during which it purchased from AB “Invalda” with its own funds 100 per cent of the shares of AB “Finasta įmonių finansai”, managing AB Bank “Finasta”.
more »
Federal Reserve Chairman Ben Bernanke that the worst U.S. recession since the Great Depression was probably over, but the recovery will take time.
more »
Growth expected to return in the second half of 2009. Forecasts are still uncertain but fears of a severe, prolonged recession are fading.
more »