APAC deal volume down by 10.9% YoY during H1 2024

APAC deal volume down by 10.9% YoY during H1 2024

The Asia-Pacific (APAC) region saw a 10.9% decline in deal activity, with 6,760 deals (mergers & acquisitions (M&A), private equity and venture financing) announced during the first half (H1) of 2024 compared to 7,590 during the previous year period. While most key APAC markets experienced a drop in deal volume, Japan and Thailand showed some improvement, reveals GlobalData, a leading data and analytics company.

Aurojyoti Bose, Lead Analyst at GlobalData, comments: “Subdued deal activity remained a global trend in 2024 and APAC region also experienced dent in deal-making sentiments amid the ongoing geopolitical tensions, uncertain market conditions and macroeconomic challenges.”

Most of the key APAC markets registered decline in deals volume during the first half of the year. For instance, China, India, Australia, South Korea, Singapore, Malaysia, Hong Kong, Indonesia and New Zealand saw a year-on-year (YoY) decline in deal volume by 20.9%, 0.2%, 4.7%, 0.3%, 19.1%, 26.4%, 16.3%, 31.2% and 9.5%, respectively, during H1 2024. However, Japan and Thailand managed to showcase some improvement in deal activity.

An analysis of GlobalData’s Deals Database revealed that all the deal types under the coverage experienced YoY decline in volume during the review period. The number of M&A deals declined by 10.1%, whereas the volume of private equity and venture financing deals fell by 28.5% and 10.9% YoY, respectively.

Bose concludes: “The deal activity across the APAC region reflects the broader global trend of subdued deal-making. The challenging geopolitical and economic landscape continues to impact investor confidence and deal sentiments, necessitating a cautious approach in the market.”