The first half of 2012 has proved to be challenging for the M&A sector according to the latest Thomson Reuters data. Australian M&A activity plunged by almost 50 percent in the first six months of the year compared to 12 months ago. Cross border activity totalled only US$27.6 billion during the past six months, representing the worse result since 2009.

 Asia Pacific M&A fell 5.9 percent to US$205.2 billion from US$218 billion in the same period last year. Even China, the region’s hub of M&A activity, reported a downturn in the past six months. China cross border activity dropped 22.8 percent to US$27.9 billion. This is the lowest first half result since 2007. However, outbound M&A from China increased by 16.7 percent, compared to the same time last year, up to US$6.7 billion. A majority of that investment occurred in the energy and power sectors.

 

Newly formed King & Wood Mallesons (KWM) took out the top spot for the first six months in completed M&A deals according to the Thomson Reuters figures, while Gilbert + Tobin and Freehills came in second and third. However, in terms of announced deals, Freehills leads the charge, followed by KWM and Allens. Freehills topped the Mergermarket legal advisor league tables for the previous financial year in both value and deal count.

 

According to Mergermarket data the Australian and New Zealand M&A activity in the 12 months to July 2012 was 32 percent lower than the previous 12 months. A significant increase was reported in the last quarter of calendar year 2011 as a result of the SABMiller/ Foster’s takeover. North America remained the top outbound target market for Australian investors according to the data; however, there was also a significant increase in the amount of outbound investment into South and Central America   – a 1,292 percent increase –  as a result of A$1 billion worth of investment, predominately in the commodities area.

 

Legal advisor league table for completed deals in First Half 2012   (Thomson Reuters)

 

Rank

Firm

Value of deals (US$m)

Number of Deals

Rank in 2011 (corresponding period)

1

King & Wood Mallesons

22,524.2

34

3

2

Gilbert + Tobin

17,598.1

18

6

3

Freehills

16,674.6

42

2

4

Allens

16,027.1

21

4

5

Ashurst

16,019.5

20

12

6

Clayton Utz

12,611.4

27

1

7

Corrs Chambers Westgarth

11,914.4

14

20

8

Minter Ellison

7,599.7

31

18

9

Allen & Overy

5,596

16

9

10

Cravath, Swaine & Moore

4,074.3

2

14

11

Norton Rose

3,449.3

16

5

12

Kirkland & Ellis

3,435.6

4

76

13

McCullough Robertson

3,134

11

56

14

Skadden

2,864

2

13

15

Baker Botts

2,739.7

1

-

 

 

 Legal advisor league table for announced deals in First Half 2012   (Thomson Reuters)

 

Rank

Firm

Value of deals (US$m)

Number of Deals

Rank in 2011(corresponding period)

1

Freehills

13,302.8

42

3

2

King & Wood Mallesons

7,745.7

36

5

3

Allens

6,939.5

30

1

4

Ashurst

6,569.7

20

6

5

Gilbert + Tobin

5,399.7

13

8

6

Latham & Watkins

3,385.1

2

14*

7

Jipyong Jisung

3,309.1

1

-

8

Skadden

2,954

3

16

9

Allen & Overy

2,190.5

11

4

10

Norton Rose

2,168.8

13

22

11

Clayton Utz

1,990.5

19

2

12

Fasken Martinueau DuMoulin

1,507.9

12

4

13

Corrs Chambers Westgarth

1,502.7

15

9

14

Minter Ellison

1,497.1

15

9

15

Simpson Thacher & Bartlett

1,370.9

2

12

* tie

Thomson Reuters is the publisher of this website.