GlobalData has revealed its global league tables for financial advisers by value and volume for the coronavirus-hit Q1 2020, which witnessed subdued deal activity worldwide.
Goldman Sachs leads by value
Goldman Sachs has dominated the latest mergers and acquisitions (M&A) league table of the top 20 financial advisers based on deal value in the first quarter of 2020, according to GlobalData, a leading data and analytics company.
The American investment bank advised on 63 deals worth US$180.3bn, including the big ticket deal of Aon’s acquisition of Willis Towers Watson.
According to GlobalData, which tracks all M&A, private equity/venture capital and asset transaction activity around the world to compile the league tables, JP Morgan was at the second position with 46 deals worth US$131.1bn.
Third position was occupied by Morgan Stanley, which advised on 45 deals worth US$92.3bn.
Rothschild & Co and Credit Suisse secured fourth and fifth positions, having advised on 65 deals worth US$66.3bn and 21 deals worth US$57.3bn, respectively. In terms of growth in the year-on-year deal value, Rothschild & Co recorded a 52.07% increase while Credit Suisse’s growth declined 28.04%.
Ravi Tokala, Financial Deals Analyst at GlobalData, comments: “Goldman Sachs and JP Morgan are the only two advisers which crossed US$100bn mark in Q1 2020, in value terms, maintaining a significant lead over rest of the advisors in top 20.
“However, top three advisers Goldman Sachs, JP Morgan and Morgan Stanley saw a decrease of 35.92%, 59.09% and 64.15%, respectively, in Q1 2020 compared with Q1 2019. The subdued deal activity and market turmoil caused by COVID-19 led to decrease in number of megadeals (>US$10bn) recorded in Q1 2020, only six such deals have been struck so far this year, down from nine in Q1 2019.
“Interestingly, Rothschild & Co and UBS recorded a growth of 52.07% and 63.07%, respectively in Q1 2020 over Q1 2019, with their involvement in two megadeals each.”
Rothschild & Co tops by volume
Rothschild & Co has dominated the M&A league table of the top 20 financial advisers based on deal volume in Q1 2020.
The UK-based investment bank advised on 65 deals worth US$66.3bn, including the big ticket deal of Thyssenkrupp’s $18.7bn sale of elevators division.
According to GlobalData, Goldman Sachs was at the second position with 63 deals worth US$180.3bn. Third position was occupied by PwC, which advised on 61 deals worth US$6.6bn.
JP Morgan and Morgan Stanley secured fourth and fifth positions, having advised on 46 deals worth US$131.1bn and 45 deals worth US$92.3bn, respectively.
Ravi Tokala comments: “In terms of deal volume, Rothschild & Co emerged as the top financial adviser in Q1 2020. However, the UK based investment bank settled at 4th rank in value terms due to its involvement in only two megadeals (>US$10bn) and low-value transactions.
“15 of the top 20 advisers (by total deals volume) witnessed decline in advised deal volume in Q1 2020 compared with Q1 2019.
“The overall deal making of the top 20 financial advisors by deal count saw a decrease of 17.27% in Q1 2020, down from 886 deals in Q1 2019, which could be due to COVID-19 outbreak.”
In the first quarter of 2020, 12,605 deals were recorded globally, marking a 12.13% decrease from the first quarter of 2019.