Big Deals Are Collapsing All Over Europe
(Bloomberg) -- Scrapped deals are piling up in Europe.
Company takeovers totaling $78.3 billion have been abandoned in the region since Jan. 1, according to data compiled by Bloomberg. That’s up more than 500% from the same period in 2020 and ranks as the highest amount for this point in a year since 2007, the data show.
By far the largest deal casualties have come in France, where this week information technology company Atos SE decided not to pursue a takeover of $6.5 billion U.S. rival DXC Technology Co. That came just a fortnight after the country’s supermarket giant Carrefour SA and Canada’s Alimentation Couche-Tard Inc. abandoned talks on a proposed $20 billion merger following stern opposition from the French government.
There’s also uncertainty over EssilorLuxottica SA’s proposed 7.3 billion-euro ($8.8 billion) acquisition of optical retailer GrandVision NV. The Franco-Italian maker of Ray-Ban sunglasses is reconsidering the deal, having become worried about the way the Covid-19 crisis has impacted GrandVision’s business, people familiar with the matter said in December.
European transactions account for the overwhelming majority of this year’s scrapped deals, which stand at $86 billion globally, the Bloomberg data show. Last month, Visa Inc. walked away from an $5.3 billion acquisition of financial technology firm Plaid Inc. due to antitrust concerns.
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