The European technology sector has seen the value of acquisitions fall to US$45bn in 2007 compared to the US$86bn record in the previous quarter.
There were 787 acquisitions involving European technology companies in Q1 2008, a decline of just 2% from the 799 deals announced in the final quarter of 2007. However the combined value of these acquisitions dropped sharply to US$45bn from US$86bn the previous year.
These are the findings of the latest report by
“All of the media talk about recession and the shortage of credit is having little effect on M+A activity in Europe. The fact is that there is a substantial amount of cash in the hands of the trade and private equity organisations that is looking for a home. All the time end-user expenditure on technology holds up, the industry will be bold enough to maintain acquisition flow,” says Peter Rowell, chairman of Regent
Private company made up 46% of the number of buyers of tech companies in Q1 2008, with private equity maintaining a 14% share of deals.