Deal activity in Asia-Pacific declines 11% in November 2020, finds GlobalData

A total of 1,681 deals were announced in the Asia-Pacific (APAC) region during November 2020, which is a decline of 11% over the 1,888 deals announced during the previous month, according to GlobalData, a leading data and analytics company.

An analysis of GlobalData’s Financial Deals Database reveals that the deal volume during the month remained above the first quarter (Q1) and second quarter (Q2) monthly average levels but lower than the third quarter (Q3) monthly average levels.

Aurojyoti Bose, Lead Analyst at GlobalData, comments: “November was the second consecutive month of decline in deal volume. The decline could be attributed to the fear of a second wave of COVID-19 in some of the key markets.”

Key markets such as China, India, Japan, Australia, Singapore, South Korea, New Zealand, Indonesia, and Malaysia witnessed decline in deal activity by 1.4%, 2.9%, 6.5%, 6.8%, 7.3%, 22.1%, 22.2%, 26.9%, and 36.5%, respectively, during November compared to the previous month while Hong Kong witnessed increase in deal volume by 54.8%.

Deal activity remained inconsistent across different deal types. Merger and acquisitions (M&A) and partnership deals increased by 2.9% and 6.7%, respectively, during November compared to the previous month while the number of venture financing, equity offerings, debt offerings, private equity, and licensing agreements decreased by 7.2%, 15.9%, 22.4%, 26.8%, and 35.7%, respectively.

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