International interest in Irish targets remains elevated.
There were 148 deals announced for Irish companies by overseas buyers and investors in the first half of the year – that included 83 first-quarter transactions, more than in any other quarter in the past five years.
Overall, in value terms, the first half slowed somewhat with a total of €7.1bn worth of deals, down on the same period last year. Indeed, 15 of the 20 largest transactions over the first half were led by inbound investors, including nine of the top 10.
Overseas interest in Irish companies is still most likely to come from UK bidders, who accounted for 58 of the 148 inbound deals during the first half. Despite the international trade uncertainties which US companies are currently facing, these businesses also remain an important part of the Irish M&A picture; there were 41 bids for Irish companies from US acquirers in the first half of the year – up from last year's total of 24 during the same period.
For many non-European bidders, Ireland represents an attractive point of entry to the European Union (EU), with acquirers from Japan, Canada, China and India all announcing more than one first-half deal.
Equally, EU buyers are also important players in the Irish M&A market, with France, Sweden, the Netherlands and Germany leading the way in recent months.
Meanwhile, domestic bidders announced 88 deals during the first half of the year, down on last year's total of 98 transactions involving Irish counterparties. Leaving aside the AIB Group transaction – part of the Irish government's broader disposal of its stake in the banking business – the biggest deal of the first half was Malin Corporation's €150m purchase of its own shares. The life sciences investment company bought in the stock at a 17% premium to the pre-deal price, funding the purchase with the proceeds of the sale of two biopharmaceutical businesses as it continues to wind down.
Click the image below to read the full review
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
