Crosbie and Company Discuss Canadian Activity
The Canadian M&A market posted a decline in total announced transactions this quarter, which was primarily driven by a slowdown in activity in both the Oil & Gas and Metals & Minerals sectors. There were a total of 222 transactions announced in Q2, a 14% reduction in activity from the 259 transactions announced in Q1. The total value of transactions declined 34% this quarter to $33.9 billion compared to the above average $51.3 billion in the previous quarter.
A few notable items in Q2 included:
§ Despite the decline in M&A activity this quarter off of slower commodity sector activity, the balance of the Canadian M&A market was relatively unchanged from the prior quarter.
§ Cross-border activity was a very prominent component of Canadian M&A this quarter, with 9 of the 10 largest deals in the quarter having a cross-border component. Canadian companies acquired foreign companies in 6 of these transactions.
§ For the fourth time in five quarters Real Estate has been the most active sector with Oil & Gas being the second most active; combined both accounted for 43% of total quarterly activity.
§ Mega-deal activity returned to historical levels this quarter, with 7 deals announced compared to the 14 announced last quarter, a four year high.
For further details, please see our press release andM&A report which are available on our website at:
Jacoline Loewen, Director, See Jacoline on BNN, The Pitch Author of Money Magnet Director, Crosbie Co.
Crosbie & Co.
150 King Street West
416 362 7726
Please contact Colin Walker