Switzerland was the most active foreign acquirer, accounting for 54% of the ..... Barclays Capital Group, BNP Paribas SA
M&A and Capital Markets Review - France First Half 2014
First Half 2014
French M&A and Capital Markets – First Half 2014 Media Contacts Europe Clare Arber +44 207 542 6256
[email protected] Americas Lauren Herman +646 223 5985
[email protected] Asia-Pacific Julie Wang Evans +852 2843 6367
[email protected] Japan Yukiko Matsushima +813 6441 1617
[email protected]
Lazard Tops 1H 2014 Any French Involvement M&A Ranking – Working on 26 deals with a combined value of US$98.3 billion, Lazard took the top spot for advisory on announced M&A with French involvement during the first half of 2014. BNP Paribas and Credit Suisse followed in second and third place, respectively. Any French Involvement M&A Fees Up 38%; BNP Paribas Leads – According to Thomson Reuters / Freeman Consulting, fees from completed M&A deals with any French involvement totaled US$829.0 million so far during 2014, an increase of 38% from the same period in 2013 (US$599.5 million). BNP Paribas earned the most fees for their advisory work on completed M&A deals with French involvement so far this year, taking US$83.9 million, or a 10% share. Any French Involvement M&A Quadruples; Domestic M&A Up Sixfold; Inbound Up 690%; Outbound Up 70% - Bolstered by the US$39.5 billion merger of cement giants Lafarge SA and Holcim Ltd, and General Electric’s US$17.1 billion bid for Alstom’s energy assets, the value of announced M&A transactions with French involvement reached US$95.2 billion during the second quarter of 2014, up 39% from the previous quarter and the highest quarterly total since the first quarter of 2006. The total for the first six months of 2014 reached US$147.2 billion, four-times the value recorded during the same period last year (US$36.4 bln). French target M&A totalled US$130.8 billion so far during 2014, more than seven-times the value registered during the same period in 2013 (US$17.8 billion). Domestic M&A increased sixfold year-on-year to reach US$56.5 billion, which accounted for 43% of French target activity. The remaining 57%, or US$74.3 billion, involved a foreign acquirer. Switzerland was the most active foreign acquirer, accounting for 54% of the inbound French M&A market by value, largely due to the Holcim/Lafarge tie-up. Outbound French M&A increased 70% to US$10.3 billion. The preferred targets were US companies, with US$2.3 billion worth of deals accounting for 23% of French outbound M&A activity. The materials sector accounted for 29% of first half 2014 French involvement M&A, while telecoms accounted for 17%. French DCM Up 35% YTD; 1Q’14 Falls 11% from 1Q’14; Natixis Leads with 12% – Debt capital markets activity in France totalled US$98.1 billion during the second quarter of 2014, an 11% decline from the from the previous quarter. Despite this, first half activity reached US$208.6 billion, up 35% from the first six months of 2013 (US$154.6 billion) and the highest first half level since 2009. Natixis took the top spot for French DCM underwriting so far during 2014 with US$24.3 billion, or 12% of the market. French ECM Activity Up 11% YTD; Strongest Quarter Since 4Q’09; Societe Generale Leads - Equity capital markets activity in France totaled US$13.6 billion so far during the second quarter of 2014, a 283% increase from the previous quarter and the strongest quarterly total since 4Q’09. The first half total is US$17.2 billion, 11% higher than the value registered during the same period last year. Societe Generale controls 13% of the market, by share, and tops the French ECM underwriting league table so far this year.
For Research Purposes Only. Data accurate as of Jun 27, 2014. Strictly Embargoed for Publication until Jul 1, 2014
DEALS INTELLIGENCE
First Half 2014 l Mergers & Acquisitions - France
M&A Rankings French M&A Ranking Any French Involvement YTD 2014 2014 YTD 2013 YTD Rank Rank 1 12 2 7 3 17 4 2 5 5 6 15 7 3 8 4 9 14 10 11 16 12 13 13 9 14 1 15 8
Financial Advisor Lazard BNP Paribas SA Credit Suisse Morgan Stanley Citi Societe Generale Rothschild Goldman Sachs & Co HSBC Holdings PLC Zaoui & Co Credit Agricole CIB Bank of America Merrill Lynch Deutsche Bank JP Morgan Barclays Industry Total
Value No. Deals (US$mil) 98,274.8 26 90,405.3 24 88,705.2 9 87,114.6 18 83,901.9 8 77,032.6 27 74,176.1 43 66,094.7 8 58,600.4 6 49,219.3 4 48,966.4 33 42,405.8 9 40,651.1 6 31,526.2 11 30,680.8 10 158,343.1 1,223
Completed French M&A Imputed Fee Ranking Any French Involvement YTD 2014 2014 YTD 2013 YTD Rank Rank 1 2 2 1 3 5 4 8 5 10 6 4 7 8 6 9 13 10 11
Financial Advisor BNP Paribas SA Rothschild Morgan Stanley Credit Agricole CIB Lazard JP Morgan Barclays Goldman Sachs & Co Credit Suisse Societe Generale Industry Total
Imputed Fees (US$mil) 83.9 57.8 55.1 51.9 49.8 45.6 38.3 36.7 30.3 24.8 829.0
Deal fees are calculated using Freeman & Co. proprietary algorithm w here spreads or fees are not disclosed. Deal fees are on a gross basis before all expenses. Each underw riter or advisor is allocated its share of deal fees using Freeman & Co. allocation methodology, based on the number of underw riters or advisors on the deal and their role.
For Research Purposes Only. Data accurate as of Jun 27, 2014. Strictly Embargoed for Publication until Jul 1, 2014
DEALS INTELLIGENCE
First Half 2014 l Mergers & Acquisitions - France
Announced M&A Volumes Any French Involvement M&A Volumes
French Target M&A Volumes
350
200 180
33.0
300 63.8
160
13.4
73.5
140
29.5
Rank Value (US$ bil)
Rank Value (US$ bil)
250
200 64.9 93.7
87.6 36.1 44.4 31.5
150 38.6
100
11.2 16.6
85.4
54.5
48.7 53.9
50
120 26.8
100
46.8
5.3 9.9
80
85.4 57.7
37.4 95.2
83.4 63.4 29.2
60
28.2
10.3
20.1 26.5 91.5 30.4 132.4 74.0 31.3 13.2 25.7 45.2 29.6 17.6 52.0
0
15.4
12.4
12.3
19.1
24.9
15.5
24.5
13.4
40
16.8 43.4
21.8
16.7
8.6
29.5
69.7
62.0
28.0 48.6
28.9
20
8.1
15.6 36.9
15.0 11.9 82.8 23.3 101.1 45.2 13.2 10.0 13.9 14.5
7.0 7.6 7.6 9.0
15.3
12
13
11.7 7.2 45.4
0 04
05
06 1Q
07
08 2Q
09
10 3Q
11 4Q
12
13
14
04
05
06 1Q
07
08 2Q
09
10 3Q
11
14
4Q
Note: These volumes exclude the effects of competing bids for Alstom, to avoid double-counting and a misleading representation of the French M&A market. General Electric’s US$17.1 billion offer is included, Siemens bid with Mitsubishi Heavy Industries is excluded.
For Research Purposes Only. Data accurate as of Jun 27, 2014. Strictly Embargoed for Publication until Jul 1, 2014
DEALS INTELLIGENCE
First Half 2014 l Mergers & Acquisitions – France
Announced M&A: Inbound vs. Outbound YTD French Deal Flow
Inbound
Outbound
US$74.3 bln (+690%)
US$10.3 bln (+70%)
Domestic US$56.5 bln (+571%) YTD Most Acquisitive Nations (US$ mil) Switzerland
$39,709
USA Germany
YTD Most Targeted Nations (US$ mil) USA
$18,725
Germany
$2,317 $1,769
$3,618 United Kingdom
$1,312
YTD Announced M&A deal value (% change vs. last YTD)
For Research Purposes Only. Data accurate as of Jun 27, 2014. Strictly Embargoed for Publication until Jul 1, 2014
DEALS INTELLIGENCE
First Half 2014 l Mergers & Acquisitions - France
Announced M&A Volumes by Industry
Announced Any French Involvement M&A by Target Macro Industry Target Macro Industry Materials Telecommunications Industrials Real Estate Consumer Products and Services Energy and Power Healthcare High Technology Media and Entertainment Consumer Staples Retail Financials Industry Total
2014 YTD Value (US$mil) 42,338.4 25,265.8 24,258.1 12,680.0 11,777.1 7,617.7 5,230.3 5,171.3 4,629.9 4,397.0 2,959.1 858.9 147,183.6
Mkt. 2013 YTD Value Share No. Deals (US$mil) 28.8 74.0 3820.3 17.2 19 154.5 16.5 196 3,459.8 8.6 54 3,498.1 8.0 147 1,762.1 5.2 55 9,076.5 3.6 76 644.8 3.5 215 1,791.3 3.2 137 2,081.2 3.0 99 524.2 2.0 64 1,171.0 .6 82 8,417.8 100.0 1,218 36,401.6
For Research Purposes Only. Data accurate as of Jun 27, 2014. Strictly Embargoed for Publication until Jul 1, 2014
DEALS INTELLIGENCE
First Half 2014 l Mergers & Acquisitions - France
M&A Top Deals List – Announced Any French Involvement Value ($mil) Date Target Name 39,544.6 04/07/14 Lafarge SA
Target Industry Materials
Acquiror Name Holcim Ltd
Status Pending
23,306.8
03/11/14 SFR
Telecommunications
Numericable Group SA Pending
17,124.2
04/30/14 Alstom SA-Energy Businesses
Industrials
General Electric-Energy Pending Assets
8,235.3
02/11/14 L'Oreal SA
Consumer Products and Services
L'Oreal SA
Intended
3,422.1
03/16/14 Bourbon SA
Energy and Power
Jaccar Holdings SA
Pending
2,938.0 2,666.3
06/22/14 Alstom SA 06/04/14 Vinci Park SA
Industrials Consumer Products and Services
France Investor Group
Intended Completed Barclays
2,110.1
06/06/14 Gecina SA
Real Estate
Investor Group
Pending
1,919.1
05/12/14 Generale de Sante SA
Healthcare
Ramsay Sante SA
Pending
1,797.1
04/14/14 Diana Ingredients SAS
Consumer Staples
Symrise AG
Pending
Target Advisors
Acquiror Advisors
Rothschild Zaoui & Co BNP Paribas SA Morgan Stanley Citi Lazard Societe Generale BNP Paribas SA Goldman Sachs & Co Deutsche Bank Lazard Bank of America Merrill Lynch Citi Bank of America Merrill Lynch HSBC Holdings PLC Rothschild Deutsche Bank Credit Agricole CIB Citi Rothschild Credit Suisse Group
Goldman Sachs & Co Societe Generale HSBC Holdings PLC Credit Suisse Group
Lazard
Credit Agricole CIB Morgan Stanley JP Morgan UBS Investment Bank Credit Suisse Group Perella Weinberg Partners LP Barclays Credit Suisse Group Lazard Morgan Stanley Centerview Partners LLC
Lazard BNP Paribas SA Zaoui & Co BNP Paribas SA Societe Generale Natixis Citi Nomura Securities Credit Agricole CIB
BNP Paribas SA Sycomore Corporate Finance SAS Santander JP Morgan Mediobanca Credit Agricole CIB Rothschild & Cie Banque Lazard JP Morgan Lazard
Ernst & Young LLP
For Research Purposes Only. Data accurate as of Jun 27, 2014. Strictly Embargoed for Publication until Jul 1, 2014
DEALS INTELLIGENCE
First Half 2014 l Capital Markets - France
Capital Markets Rankings
Debt Capital Markets - France 2014 2013 YTD YTD Rank Rank Bookrunner
Equity Capital Markets - France
Proceeds Mkt. No. (US$mil) Share Deals
2014 2013 YTD YTD Rank Rank Bookrunner
Proceeds Mkt. No. (US$mil) Share Deals
1
3
Natixis
24,338.8
11.7
71
1
1
Societe Generale
2,222.8
12.9
18
2
2
BNP Paribas SA
23,526.4
11.3
70
2
3
Bank of America Merrill Lynch
1,741.6
10.1
6
3
4
Credit Agricole CIB
21,718.3
10.4
52
3
4
Deutsche Bank
1,343.1
7.8
8
4
1
Societe Generale
18,739.6
9.0
73
4
5
Morgan Stanley
1,321.9
7.7
9
5
5
HSBC Holdings PLC
13,343.6
6.4
51
5
2
Goldman Sachs & Co
1,309.5
7.6
5
6
8
Deutsche Bank
10,298.5
4.9
33
6
-
JP Morgan
1,307.3
7.6
6
7
6
Barclays
10,238.9
4.9
35
7
7
Credit Agricole CIB
1,098.1
6.4
9
8
7
Morgan Stanley
9,102.5
4.4
28
8
10
HSBC Holdings PLC
1,090.5
6.3
4
9
10
Citi
8,411.4
4.0
27
9
14* BNP Paribas SA
939.1
5.5
9
10
13
Goldman Sachs & Co
7,484.5
3.6
24
10
16
Natixis
913.4
5.3
10
11
14
JP Morgan
7,389.1
3.5
26
11
8
Citi
903.0
5.3
3
12
12
Credit Suisse
7,385.5
3.5
23
12
-
Barclays
790.2
4.6
5
13
9
RBS
5,836.3
2.8
22
13
6
UBS
596.9
3.5
3
14
11
Bank of America Merrill Lynch
5,124.8
2.5
15
14
-
Credit Suisse
404.2
2.4
2
15
20
ING
3,476.4
1.7
11
15
11
Lazard-Natixis
300.7
1.8
1
208,575.5 100.0
261
-
-
Industry Total
17,206.1 100.0
50
-
- Industry Total
For Research Purposes Only. Data accurate as of Jun 27, 2014. Strictly Embargoed for Publication until Jul 1, 2014
DEALS INTELLIGENCE
First Half 2014 l Capital Markets - France
Debt Capital Markets Quarterly French DCM Volumes
Proceeds (US$ bil)
$120
200
126 117
110
110 98
97
$100
85 87
$80 $60
126 119
56
52
57 41 51
$40
80
76
71
31
66 60 51
40
55
150
77
46
40
63
61
58
51
58
62
100
47
50
Number of Issues
$140
$20 $0
0 2Q06
2Q07
2Q08
2Q09 2Q10 Proceeds (US$ bil)
2Q11 No. Issues
2Q12
2Q13
2Q14
Top French Investment Grade Corporate Bonds YTD 2014 Proceeds Issue Date Issuer (US$mil) 4,627.2 01/13/14 EDF SA
Nation
Currency Bookrunners
FR
US
Credit Suisse, Citi, Societe Generale, Deutsche Bank AG, Goldman Sachs & Co, JP Morgan, Mizuho Securities USA Inc, Morgan Stanley & Co, RBC Capital Markets, RBS Securities Inc, Lloyds Bank, Santander Investment Secs
3,907.3
01/15/14 EDF SA
FR
EUR
Credit Suisse, Citi, Societe Generale, BNP Paribas SA, Credit Agricole CIB, Commerzbank AG, ING, Natixis, UniCredit Group
3,778.2
01/29/14 Orange SA
FR
EUR
BNP Paribas SA, Goldman Sachs International, Credit Agricole CIB, Citi, HSBC Bank PLC, ING, Morgan Stanley & Co, Societe Generale
3,402.0
05/12/14 GDF Suez SA
FR
EUR
Credit Agricole CIB, Citi, BBVA, BNP Paribas SA, Mitsubishi UFJ Sec Intl Plc, Natixis, Societe Generale
2,709.9
05/22/14 GDF Suez SA
FR
EUR
Barclays Capital Group, BNP Paribas SA, Deutsche Bank, HSBC Bank PLC, JP Morgan, BBVA, UniCredit Group, Credit Agricole CIB, Societe Generale, Mitsubishi UFJ Sec Intl Plc, RBS, ING, Mizuho Intl PLC, Lloyds TSB Group PLC, SMBC Nikko Securities Inc, Bank of America Merrill Lynch, Goldman Sachs & Co
For Research Purposes Only. Data accurate as of Jun 27, 2014. Strictly Embargoed for Publication until Jul 1, 2014
DEALS INTELLIGENCE
First Half 2014 l Capital Markets - France
Equity Capital Markets Quarterly French ECM Volumes
50 15.9
15.3
$15
13.3 12.6
12.7
13.6
13.1
12.2 10.4
11.1
30
9.6
$10 7.0
$5
3.9
3.2 1.7
2.6
2.2
2.2
0.9
2.1
1.0
3.8
5.8
3.2
1.9
20
3.9 4.4
5.1 1.8 1.1 1.7
40
2.1
3.6
10
Number of Issues
Proceeds (US$ bil)
$20
0.2
$0
0 2Q06
2Q07
2Q08
2Q09 2Q10 Proceeds (US$ bil)
2Q11 No. Issues
2Q12
2Q13
2Q14
Top ECM Issues in France YTD 2014 Proceeds Issue Date Issuer Nation (US$mil) 2,678.9 05/14/14 PSA Peugeot Citroen SA France
Currency Bookrunners EUR
Citigroup, BNP Paribas SA, Credit Agricole CIB, HSBC Holdings PLC, Morgan Stanley, Natixis, Banco Santander, Deutsche Bank, Societe General Corp
2,063.1
06/25/14 GDF Suez SA
France
EUR
Societe Generale, Goldman Sachs & Co, Bank of America Merrill Lynch, Citi
1,562.5
06/02/14 Alcatel Lucent SA
France
EUR
Credit Agricole CIB, Deutsche Bank AG, Goldman Sachs International, Morgan Stanley International, Bank of America Merrill Lynch, Barclays Bank PLC, Citigroup, Global Markets Ltd, Natixis
1,402.3
05/07/14 Cie de Saint-Gobain SA
France
EUR
Bank of America Merrill Lynch, JP Morgan
1,292.7
06/10/14 Elior SCA
France
EUR
Barclays, Credit Agricole CIB, Credit Suisse Group, Deutsche Bank, HSBC Holdings PLC, JP Morgan
For Research Purposes Only. Data accurate as of Jun 27, 2014. Strictly Embargoed for Publication until Jul 1, 2014
DEALS INTELLIGENCE
