Global M&A value surges 11.7% in 2024, reaching US$ 1.22 Tn

Global mergers and acquisitions (M&A) experienced an 11.7% increase in total transaction value, reaching US$ 1.22 trillion in the first half of 2024, despite a 12.9% decline in deal volumes, according to S&P Global Market Intelligence’s Q2 2024 report. While overall deal numbers remain subdued due to the lingering effects of the 2022 rate hikes, large deals have driven value growth, with optimism for further recovery contingent on political clarity and continued rate cuts heading into 2025.

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S&P Global Market Intelligence’s second quarter (Q2) 2024 Global M&A and Equity Offerings Report shows that, despite a decline in deal volumes, global mergers and acquisitions (M&A) saw a notable increase in total transaction value during the first half of 2024.

M&A transactions involve the transfer or combination of ownership of businesses, business organisations, or their operational units with another business entity.

According to the report, during the first half of 2024, the total value of M&A transactions increased by 11.7% to US$ 1.22 trillion, compared to the same period in 2023. The report states, that there were 19,415 recorded transactions, a 12.9% decrease in the number of deals.

This mixed activity demonstrates that, while global M&A has not entirely recovered from the pause caused by the 2022 rate hike cycle, dealmakers continue to pursue larger purchases.

According to the research, the second quarter of 2024 witnessed an increase in M&A announcements worth more than US$ 10 billion outside the United States, leading to the third consecutive quarter of year-over-year improvement in overall deal value.

“A handful of large transactions served as a bright spot for M&A and IPO activity in the second quarter; while the overall number of transactions remains lacklustre, the bigger deals are helping bring some growth to the overall value of transactions,” said Joe Mantone, lead author of the report at S&P Global Market Intelligence, highlighting the significance of these large transactions.

Mantone added, “M&A and IPOs heading into 2025 would certainly create optimism for clarity around the political landscape and sustained rate-cutting cycle.”