SS&C Releases Intralinks 2020 Mergers & Acquisitions Leaks Report

Rhea-AI Summary

SS&C Technologies Holdings announced that 8.2% of global mergers and acquisitions (M&A) deals leaked before official announcements in 2020, down from 8.7% in 2019. The SS&C Intralinks 2020 M&A Leaks Report revealed that leaked deals were valued at $69 billion, a 50% decline from $139 billion in 2019. South Korea, India, and Hong Kong led in leaked deal activity. Leaked deals attracted more rival bids and completed faster than non-leaked deals. The report analyzed 14,288 M&A transactions conducted from January 1, 2009, to December 31, 2020.

Positive

• Leaked deals attracted more rival bids (6.1%) compared to non-leaked deals (4.9%).
• Leaked deals completed faster (median of 63 days) than non-leaked deals (median of 82 days).
• Takeover premiums were higher for leaked deals (63.6%) compared to non-leaked deals (28.5%).

Negative

• Total values of leaked M&A deals dropped 50% in 2020 compared to 2019, indicating potential market contraction.

WINDSOR, Conn., Sept. 28, 2021 /PRNewswire/ -- SS&C Technologies Holdings, Inc. (Nasdaq: SSNC) today announced that 8.2% of worldwide mergers and acquisitions (M&A) deals in 2020 were leaked before being officially announced, compared to 8.7% in 2019. The SS&C Intralinks 2020 M&A Leaks Report was conducted with the M&A Research Centre at Bayes Business School (formerly Cass) in London.

"Though it seems surprising given the massive shift in work environments, global M&A deal leaks were relatively unchanged," said Ken Bisconti, Co-Head of SS&C Intralinks. "Increased regulatory vigilance, a pandemic-accelerated move to secure virtual dealmaking, and stable M&A activity all contributed to minimal deal leaks disruption."

Key findings include:

• Total values of dollar volumes of leaked deals were down 50% in 2020 compared to 2019: roughly 69 billion USD versus 139 billion USD.
• South Korea (12.5%), India (11.9%), and Hong Kong (10.3%) led the leaked deal activity list.
• 6.1% of leaked deals attracted one or more rival bids compared to 4.9% of non-leaked deals.
• Leaked deals took less time to complete (median of 63 days) than deals without a leak (median of 82 days).
• The takeover premium for targets in leaked deals was 63.6%, compared to 28.5% for non-leaked deals in 2020.

The SS&C Intralinks 2020 M&A Leaks Report sourced M&A transaction data from 14,288 announced deals between January 1, 2009, and December 31, 2020. For more detailed information about the report, click here.

SS&C Intralinks is a pioneer of the virtual data room, enabling and securing the flow of information by facilitating M&A, capital raising and investor reporting. SS&C Intralinks has executed over US$34.7 trillion worth of financial transactions on its platform.

About SS&C Technologies

SS&C is a global provider of services and software for the financial services and healthcare industries. Founded in 1986, SS&C is headquartered in Windsor, Connecticut, and has offices around the world. Some 18,000 financial services and healthcare organizations, from the world's largest companies to small and mid-market firms, rely on SS&C for expertise, scale and technology.

Additional information about
SS&C (Nasdaq: SSNC) is available at www.ssctech.com.

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SOURCE SS&C

FAQ

What percentage of M&A deals leaked in 2020?

8.2% of global M&A deals leaked before being officially announced in 2020.

How much money was involved in leaked M&A deals in 2020?

The total value of leaked M&A deals in 2020 was approximately $69 billion.

Which countries led in M&A deal leaks?

South Korea, India, and Hong Kong had the highest percentages of leaked deal activity.

How do leaked M&A deals compare in terms of competition?

Leaked deals saw a higher rate of rival bids compared to non-leaked deals.

What was the average completion time for leaked M&A deals?

Leaked M&A deals had a median completion time of 63 days.