New Delhi, Nov. 24: The global coal mining sector has witnessed merger and acquisition (M&A) transactions worth over $47.1 billion through 968 deals so far this year, the highest number of deals on record. According to leading deal tracking firm Dealogic, the coal mining M&A deals worth $47.1 billion have been announced so far this year, the third highest year-to-date amount on record.
As compared to last year, the coal mining M&A volume saw an increase of 79 per cent with deals worth $26.3 billion being announced. A large chunk of the total coal mining M&A deals were announced in the emerging markets, which accounted for a record 64 per cent of the total coal mining M&A pie. “China is the most targeted nation globally in the coal mining sector with a record high of $11.6 billion,” Dealogic said, adding “cross border volumes account for 47 per cent or $5.5 billion of all Chinese coal mining M&A so far this year”.
The top five nations in the coal mining sector this year were China, Indonesia, Chile, United States and Canada, the report added. Overall cross-border M&A contributed about 70 per cent of all coal mining volume in 2010 and US was the most active buyer, announcing deals worth $8.5 billion this year.
About 92 per cent of US’ acquisitions were within North America, the highest share in six years, Dealogic added. Credit Suisse lead the advisor ranking for Coal Mining M&A with $11.2 billion in 2010, followed by JP Morgan with $9.8 billion and UBS with $5.8 billion.