What were the highs and lows of the first half of the year? We look at key global highlights across ECM, DCM, Loans, M&A, and IB Strategy, according to Dealogic figures. For more information or a full copy of our First Half 2016 Reviews, please reach out to our teams below.
Global ECM Highlights
Global ECM volume totaled $331.6bn in 1H 2016, down 40% from the $550.1bn raised in 1H 2015, and the lowest 1H volume since 2012. IPO volume was at the lowest first half level since 2009 – down 54% to $47.8bn in 1H 2016. Asia Pacific ECM volume was down 35% year‐on‐year with $131.0bn but accounted for 40% of global ECM volume, the highest 1H share since 2010
- 2Q Volume – ECM volume of $193.0bn in 2Q 2016 was up 39% from 1Q 2016
- Real Estate – Led global ECM with $39.9bn and a 12% market share, the highest share since 1H 2007
- China – Led global ECM volume and activity with $92.4bn and 355 deals
- IPOs – Global IPO volume of $47.8bn tumbled 54% year‐on‐year. Lowest first half period since 2009
- JPMorgan – Led the global ECM bookrunner ranking. JPMorgan topped the IPO bookrunner ranking
Global DCM Highlights
In 1H 2016 global DCM volume totaled $3.50tr, up 3% year-on-year. Global corporate IG issuance of $1.05tr was the highest half year total on record. The largest Emerging Market syndicated bond on record was priced on April 19, 2016; as the Republic of Argentina issued a $16.5bn bond, the country’s first sovereign bond since October 2001
- $175.52bn – Global corporate IG acquisition related bond volume at a record half year total
- $504.7bn – Yankee DCM volume increased 9% year-on-year, the second highest 1H total on record
- $46.9bn – European HY issuance declined 40% year-on-year to the lowest 1H level since 2012 ($37.9bn)
- $10.9bn – Global DCM revenue dropped for the second consecutive 1H to the lowest first half total since 2012 ($10.1bn)
- JPMorgan – Led the global bookrunner volume ranking and DCM revenue for 1H 2016
Global Loans Highlights
Global syndicated loan volume of $1.93tr borrowed in 1H 2016 was the lowest 1H level since 2012 ($1.76tr) and down 11% on $2.18tr borrowed in 1H 2015. Borrowing in the Oil & Gas sector fell 37% ($162.7bn) from the record high $257.7bn signed in 1H 2015. Chemicals and Technology borrowers recorded the biggest increase in corporate loan volume, up 40% and 35% year‐on‐year, respectively
- $1.50tr – Corporate loan volume dropped to the lowest 1H total since 2012 ($1.28tr)
- Finance – Finance led the corporate sector ranking with $202.0bn in 1H 2016
- $20.0bn – General Electric Capital signed a $20.0bn loan, the largest IG deal globally in 1H 2016
- $5.9bn – Global loan revenue was down 10% from 1H 2015 to the lowest half year level since 1H 2010
- BAML – Led the global loan bookrunner ranking in 1H 2016
Global M&A Highlights
After three successive quarters with $1tr+ volume, global M&A fell to $758.5bn and $951.6bn in the first two quarters of 2016. First half volume of $1.71tr was down 18% year-on-year ($2.09tr). Technology was the top sector with a total of $294.8bn, the second highest 1H volume on record behind 2000 ($304.6bn). Withdrawn M&A volume of $606.4bn was the highest 1H total on record and second highest full year since 2009
- Mega deals – Just 16 $10bn+ M&A deals announced, compared to 24 in 1H 2015 and a record 35 in 2H 2015
- China – China outbound M&A volume of $135.3bn already surpassed any China outbound annual record
- Technology – Technology led global M&A for the first time on record, with $294.8bn
- $580.9bn – Cross-border volume down 6% year-on-year. US targets accounted for 35% share of global cross-border total
- Goldman Sachs – Top advisor for global M&A in 1H 2016, followed by Morgan Stanley and Bank of America Merrill Lynch
Global Investment Banking Strategy Highlights
Global IB revenue dropped 19% year‐on‐year in 1H 2016 ($33.7bn), the biggest first half decline since 2012 (down 21%). Revenue dropped across all products, with M&A revenue down 11% to $10.5bn, the third largest 1H decline in 8 years. ECM accounted for its lowest 1H share of global revenue on record (19%). DCM ($10.9bn) revenue fell by 7% while syndicated lending revenue dropped for a third consecutive 1H period
- IPOs – Revenue down 58% to the lowest 1H level since 2009, despite revenue jumping from $405m in 1Q 2016 to $1.0bn in 2Q 2016
- Corp IG – Revenue of $6.3bn is the highest half year total on record while high yield bond revenue dropped 38% to $2.1bn
- $3.7bn – Technology generated its third biggest first half IB revenue since the dot.com bubble in 2000
- 27.8% – Lowest half year on record for European banks’ share of global IB revenue. US banks’ share dropped y‐o‐y to 46.8%, Asia Pacific banks’ share at 16.8% record half year high
- JPMorgan – Led the global IB, DCM, and ECM revenue rankings. Bank of America Merrill Lynch led Loans while Goldman Sachs led M&A