The material on this site is for financial institutions, professional investors and their professional advisers. It is for information only. Please read our Terms & Conditions, Privacy Policy and Cookies before using this site. Please see our Subscription Terms and Conditions.


All material subject to strictly enforced copyright laws. © 2021 Euromoney, a part of the Euromoney Institutional Investor PLC.

Telecoms: Bigger but fewer deals in US

Bank telecom advisory fees are on the up, but that won’t last for long.

Quality assets left for acquisition in the highly consolidated US telecoms market are rapidly dwindling. According to data provided by Dealogic, the number of completed deals has been dramatically declining over the past few years. However, the size of deals has been increasing – larger mergers are being completed but fewer are completed each year.

This has worked out quite well for banks and boutiques that provide advisory services for telco M&A: the amount of revenue generated each year by US telco advisory firms has been increasing, even as the number of deals decreases. And quarter on quarter over the past year this was also the case [see chart below].

However, there are few quality assets left in the US for takeover targets, according to Per Lindberg, a telecom equipment analyst at Dresdner Kleinwort Wasserstein in London. “Suffice it to say most of the telecoms M&A in the US has been done,” he says. “The big boys have already all reallocated their assets. There are very few big assets left out there. Over the coming year we will see a few rural operators get snapped up. There is also Qwest, which will probably be picked up sooner or later, but the big M&A is done.”

You have reached premium content. Please log in to continue reading.

Read beyond the headlines with Euromoney

For over 50 years, our readers have looked to Euromoney to stay informed about the issues that matter in the international banking and financial markets. Find out more about our different levels of access below.

SUBSCRIBE ONLINE TODAY

Unlimited access to Euromoney.com and Asiamoney.com

Expert comment, long reads and in-depth analysis interviews with senior finance professionals

Access the results of our market-leading annual surveys across core financial services

Access the results of our annual awards, including the world-renowned Awards for Excellence

Your print copy of Euromoney magazine delivered monthly

£73.75 per month

Billed Annually

FREE 7 DAY TRIAL

Unlimited access to Euromoney.com and Asiamoney.com, including our top stories, long reads, expert analysis, and the results of our annual surveys and awards

Sign up to any of our newsletters, curated by our editors

LOGIN NOW

Already a user?

We use cookies to provide a personalized site experience.
By continuing to use & browse the site you agree to our Privacy Policy.
I agree