{"id":548286,"date":"2022-08-02T03:45:02","date_gmt":"2022-08-02T03:45:02","guid":{"rendered":"https:\/\/enterpriseam.com\/egypt\/2022\/08\/02\/global-ma-isnt-in-kansas-anymore\/"},"modified":"2022-08-02T03:45:02","modified_gmt":"2022-08-02T03:45:02","slug":"global-ma-isnt-in-kansas-anymore","status":"publish","type":"post","link":"https:\/\/enterpriseam.com\/egypt\/2022\/08\/02\/global-ma-isnt-in-kansas-anymore\/","title":{"rendered":"Global M&A isn\u2019t in Kansas anymore"},"content":{"rendered":"

<\/a> Global M&A activity has slowed dramatically this year:<\/strong> The value of global M&A transactions has fallen almost a third so far this year as the conditions that enabled an explosion of dealmaking in 2020 and 2021 go into reverse. Mergers worth USD 2.4 tn had been announced globally as of late July, down 30% from the same period in 2021, according to Dealogic data cited by the Wall Street Journal<\/a>.<\/p>\n

The culprits:<\/strong> Rising interest rates, soaring inflation and economic uncertainty fuelled by the war in the Ukraine are all putting a damper on activity. This comes after a booming year for M&A activity, where loose monetary conditions spurred a buying spree that saw mergers worth almost USD 6 tn.<\/p>\n

It\u2019s not looking good for 2H 2022 either:<\/strong> \u201cUncertainty is never helpful for M&A,\u201d Anu Aiyengar, global co-head of M&A at JPMorgan Chase, told the newspaper, adding that she expects activity in the second half of the year to be even lower than the first half. This is partly because of the war and the fact that \u201cprivate-equity, which has been a significant driver of the overall market, seems to be a little bit more on the sidelines,\u201d she said.<\/p>\n

MEANWHILE- Saudi crude exports rose in July to their highest levels since 2020<\/strong>, according to tanker-tracking data compiled by Bloomberg<\/a>, which shows that 7.5 mn barrels a day left the country on average last month, up 14% from June. This came following the visit from US President Joe Biden to the kingdom earlier last month, where he lobbied Riyadh to increase export volumes to calm global oil prices, which have surged following Russia\u2019s invasion of Ukraine.<\/p>\n

EARNINGS WATCH- HSBC comf<\/strong>ortably beat earnings estimate<\/strong>s for 2Q 2022<\/strong>, yesterday reporting a post-tax profit of USD 5.8 bn as rising interest rates boost the bank\u2019s loan income. The bank said it will move to gradually restore its full pre-pandemic dividend on the back of the strong earnings. (Earnings release, pdf<\/a>)<\/p>\n

ALSO FROM PLANET FINANCE- <\/strong><\/p>\n