Referendum uncertainty “significantly weakened” UK’s European M&A market dominance July 11, 2016 The UK’s Brexit vote has “destabilised its position as a leading European investment hub”, according to a new mergers and acquisitions (M&A) report. In the first six months of 2016, dealmakers were “spooked” by the looming EU referendum, with 647 deals worth £41.3bn announced – down from 702 worth £122.9bn in the same period of [...]
Rolls-Royce to buy remaining stake in Spanish firm ITP for €720m July 11, 2016 Engineering group Rolls-Royce said today that it has agreed to buy the outstanding 53.1 per cent shareholding in Industria de Turbo Propulsores (ITP) owned by Sener Grupo de Ingeniería. The FTSE 100-listed firm will pay €720m (£614m) for the stake, after Sener exercised a put option. Under the existing shareholder agreement, the payment will be settled over a two year [...]
LSE responds to Deutsche Boerse’s proposal for a lower vote threshold as deadline looms July 11, 2016 The London Stock Exchange response to bidder Deutsche Boerse's proposal for a lower acceptance threshold that will ensure the deal goes through. "No decision has been made in this regard yet," LSE said in a statement today. The decision will be made today when the facts "will be finally evaluated by the parties involved", it added. Read more: Analysts [...]
Pfizer-Allergan collapse contributes to record period for cancelled M&A July 7, 2016 The first half of 2016 was a record period for cancelled deals, new figures show. The most high-profile withdrawal during the period was the $160bn (£124bn) Pfizer-Allergan merger, which was scuppered by US inversion rule changes. Read more: The bitter pill of America's new tax law Dealogic figures for the six-month period show that the number [...]
Costain purchases speed camera company for £17m July 6, 2016 Crossrail engineer Costain has acquired transport technology provider Simulation Systems Limited (SSL) in a deal worth £17m, it was announced today. "This transaction will further broaden our ability to deliver technology-based solutions to meet the increasingly complex requirements of our major blue chip customers in energy, water and transportation," said Costain chief executive Andrew Wyllie. [...]
Cold fusion: London turnaround group Melrose snaps up US aircon company for £2.2bn July 6, 2016 Shares in turnaround group Melrose shot up by more than 30 per cent on Wednesday after it announced the $2.8bn (£2.2bn) acquisition of a US heating and air conditioning company. Melrose said the $86-per-share offer represented a premium of around 37.6 per cent and the Nortek board intends to recommend the deal to shareholders. Read [...]
Deutsche Boerse tells German politicians: Merged stock exchange will have EU HQ July 6, 2016 Deutsche Boerse has informed politicians in Germany that it will have an EU headquarters after a merger with the London Stock Exchange, City A.M. has learned. This would mean that, after a full Brexit, London would either lose or share the HQ of the combined group. Mark Garnier, a Conservative MP on the Treasury Select [...]
Global deals hit by Brexit and US presidential election July 5, 2016 Global M&A activity fell by over a quarter during the first half of 2016 as political upheavals including Brexit took their toll according to a report released today. Concern about the UK referendum on EU membership and the upcoming US presidential election were cited as the drivers for the downward trend. Global deals totalled $1.32 [...]
London may lose, or share, merged stock exchange HQ after Brexit – sources July 5, 2016 The City is at risk of losing, or sharing, the merged headquarters of the London Stock Exchange and Deutsche Boerse in the wake of Brexit, City A.M. understands. Executives at the exchanges are scrambling to reach an agreement over the location of their post-merger base, with pressure from Germany for the merged entity to have an [...]
Sainsbury’s remains committed to Home Retail purchase despite Brexit vote July 5, 2016 Sainsbury’s reaffirmed today its desire to purchase Home Retail group despite the increased economic uncertainty after the UK voted to leave the EU. "We remain absolutely convinced by the strategic rationale of the deal and we think it will strengthen our business. We remain committed to making the deal happen," said CEO Mike Coupe. The [...]