Blog — 4 Jan, 2024
2023 Year in Review Key Capital Markets Trends
Global M&A activity followed a slow H2 2022 with a quiet 2023. Total M&A transaction volume fell 32% year over year, dropping from $2.97 trillion in 2022 to $2.02 trillion in 2023. In total, 37,218 deals were completed in 2023, a 28.1% decrease from 2022's full-year tally. The Americas region accounted for 54.8% of global M&A activity with a total investment of $1.1 trillion.
In 2023 YTD, private equity and venture capital exit activity has increased 6% year over year with an aggregate deal value of $445 billion. The US, Canada and Europe account for 82% of the year's exit transactions. A total of $286 billion (756 deals) in transactions come from the US and Canada, while $80 billion (703 deals) was generated in Europe. Aggregate exit deal value in the APAC region increased to $75 billion (up 45% year over year) across 241 transactions (down 12% year over year).
The industries that recorded the highest number of leveraged buyout (LBO) deals over the past 3 years are Industrials (1,804), Financials (1,540), and Consumer Discretionary (1,296). Those three sectors also had the most activity year-to-date, representing 59% or 1,054 of the total deals. Much like M&A activity, LBO transactions declined in volume this year, most noticeable in Healthcare (49%) and Real Estate (49%) markets.