Global private equity deal volume, value continue slide in June: S&P
GLOBAL private equity and venture capital deals continued to fall in terms of value and volume in June, extending the overall downward trend for the second quarter of the year.
Total deal value for the month slipped 59.3 per cent year on year to US$27 billion from US$66.4 billion in the same period a year ago, S&P Global Market Intelligence data indicated on Monday (Jul 10).
The number of deals recorded in June also fell, by 44.9 per cent to 847, from 1,536 the year prior.
By geography, the Asia-Pacific witnessed the second-highest deal values in June, with 258 transactions totalling US$7.1 billion. The region comes after the US and Canada, which posted the highest deal value of US$13.4 billion across 301 transactions for the month.
By sector, technology, media and telecommunications continued to secure the most capital from investors in June, raking in US$9.5 billion in total transaction value. However, this amount was just a third of the US$28.4 billion raised in the same period in 2022.
In second place is the energy and utilities sector, with a total deal value of US$5.9 billion, an increase from the US$2.2 billion in June 2022.
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Industrial companies followed with US$4.4 billion, which is almost half the US$8.4 billion a year ago.
The largest deal in June came from Bain Capital’s Bain Capital Investors, which offered to purchase a 57.83 per cent stake in China-based hyperscale data centre solutions company Chindata Group Holdings in a take-private transaction valued at some US$2.3 billion.
The second-biggest deal was the planned acquisition of a 19.9 per cent stake in gas and electric distribution company Northern Indiana Public Service Co by an affiliate of Blackstone Infrastructure Partners group. The move was valued at nearly US$2.2 billion.
The latest data for June rounds off Q2 2023 to mark yet another quarterly decline, where total transaction value dropped 53.5 per cent year on year to US$98.48 billion from US$211.69 billion previously.
Deal volumes for the quarter fell 39.1 per cent year on year to 2,686 from 4,411 transactions.
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