The value of global merger and acquisitions (M&A) deals rose 11.7 per cent year-on-year to $1.22 trillion in the first half of 2024, according to a report by S&P Global.

This increase came despite a 12.9 per cent drop in deals, totaling 19,415 during the period. M&A activity has yet to fully rebound from the slowdown that began in 2022, triggered by the global rate-hiking cycle.

However, dealmakers are willing to engage in large transactions. The total value of global deals recorded its third straight quarter of year-onyear growth, driven by more than $10 billion M&A deals outside the US.

Europe saw a significant boost, with the total value of M&A announcements increasing by 65.4 per cent quarteron-quarter and 25.4 per cent year-on-year in Q2’24, reaching $182.87 billion. In contrast, global initial public offerings (IPOs) saw a decline.

The first six months of 2024 recorded 616 global IPOs, down from 674 in H1’23 and 819 in H1’22. A handful of large transactions served as a bright spot for M&A and IPO activity in the second quarter, said Joe Mantone, lead author of the report at S&P Global Market Intelligence.

Clarity around the political landscape and sustained ratecutting cycle will help to create optimism for M&A and initial public offerings (IPOs) heading into 2025, he added.