UK Tops Euro Tech Sector's M&As

LONDON -- The number of M&A corporate deals in the UK technology sector in Q2 grew by one third in comparison to the same period in 2009. The findings come from the most recent quarterly Global technology M&A update report issued today by Ernst & Young.

40 deals were closed April to June in 2010 in comparison to just 30 deals for the same period in 2009. That deal number is also up from the 32 UK technology sector M&A deals closed in Q1 2010. The results firmly position the UK as having the most acquisitive technology sector in Europe for both Q1 and Q2 this year – ranking it second only to the US globally for both quarters.

Today’s finding also highlight the emergence of a trend away from purely domestic M&A deals in the UK towards great numbers of cross-border transactions. Of the 40 UK’s M&A technology deals closed in Q2, half were international M&A’s in comparison to just one third of M&A deals which took place in Q2 in 2009 and one third which took place more recently in Q1 2010.

Neil Hutt Ernst & Young UK Technology Transactions Partner comments ”For most businesses M&A is very much back on the agenda and it’s great to see so much M&A activity in the UK at the moment. There appears to be a healthy mix of inbound investment and UK businesses looking for inorganic growth.”

Ernst & Young International