US M&A hits new heights in 2014

The year past saw US M&A volume and value figures hit record levels. And there are reasons to be optimistic for the year ahead.

White & Case’s new report Full Steam Ahead reveals of the trends behind US M&A’s record year

After a long hiatus, US M&A surged in 2014. Companies announced 4,795 deals worth US$1.4tn last year, a 22% year-on-year (YoY) increase in volume and a 57% YoY increase in value. This compares to just 2,221 deals worth US$668bn in 2009, the low point of the financial downturn.

A positive economic outlook helped underpin the M&A revival. The Bureau of Economic Analysis reports that the US economy grew by 2.4% YoY, the fastest rate since the downturn, while unemployment rates fell to 5.6% in December 2014. Capital markets were also buoyant throughout the year, with the S&P 500 gaining 11.2%.