Fact Service March 2015

Issue 10

Mergers and takeovers at record low

In 2014, merger and acquisition activity involving UK companies fell to lower levels than experienced during the depth of the 2008-09 economic downturn and was at its lowest level since 1987, when ONS first published overall merger and acquisition data.

There were a total of 376 domestic and cross border acquisitions which were completed during 2014 compared with 437 in 2013, a reduction of 61.

Last year, the total number of takeovers in the UK by foreign companies fell by almost a third (30.5%) from 141 in 2013 to 98. The value of these takeovers plummeted by 57.1% from £31.8 billion to £13.7 billion.

Mergers and takeovers of UK companies by other UK firms also fell in number — by 27.3% — from 238 to 173. However, the value of such activity rose by 4.5% from £7.7 billion to just over £8 billion.

The number of takeovers abroad by UK companies increased by 81% to 105 from 58, but comparisons on value could not be made as no figure was disclosed for 2013. The value of such takeovers in 2014 was £20.3 billion.

www.ons.gov.uk/ons/dcp171778_397409.pdf