Technology acquisitions at an all time high
The level of technology acquisitions is at an all time high, according to the latest findings from Regent Associates' 'European Technology Acquisition Review' report.
European acquisitions of technology companies have finally struck back following a three year downturn, surging last year to 2,405 deals, a massive 69% increase on 2003 and still beating the "dotcom bubble year" of 2000.
With total deal value exceeding $134 billion, acquisition activity across Europe certainly appears alive and well. Whilst the market may not be experiencing the large increases in technology expenditure that were evident before 2000, vendors clearly feel confident enough about the future to instigate such robust acquisition activity.
The European Technology Acquisition Review, published by Regent Associates, is a quarterly tracker of M&A activity across 10 European technology industries and provides the only up-to-date indicator on deal flow across European sectors.
Peter Rowell, Chairman, Regent Associates said, "2004 was a very active acquisition market for technology companies. However, unlike the year 2000, the current activity is built on solid foundations with carefully thought out strategic and financial metrics. Buyers know what they are buying and sellers know why they are selling."
***2004 Trends Overview***
Return to form in deal value - 2004 saw the combined value of transactions rise strongly by 36% to $134.22