Volume 90 Issue 20 | p. 20 | Concentrates
Issue Date: May 14, 2012

Deal Activity Slows In First Quarter

Department: Business
Keywords: acquisitions, mergers, earnings

Chemical deal-making slowed in the first quarter of 2012, continuing a trend that began in the second half of 2011, according to a report by advisory firm PricewaterhouseCoopers. PwC recorded 16 acquisition announcements worth $50 million or more in the quarter, adding up to a total deal value of $12 billion. Last year’s first quarter posted 34 similar-size deals worth a total of $42 billion. The report blames uncertain economic indicators and weak first-quarter earnings for the drop. “Companies may have shied away from deals to streamline operations and jumpstart earnings growth through organic means,” the report suggests. Five large deals, worth $1 billion or more, drove total deal value for the quarter, but the volume of smaller deals declined substantially.

 
Chemical & Engineering News
ISSN 0009-2347
Copyright © American Chemical Society

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