More Than $20 Billion in Takeovers Have Fallen Through in January

(Bloomberg) -- Mid-January -- already cold, dark and damp -- was particularly hard on dealmakers as more than $20 billion in takeovers fell through.

The failed transactions added to gloomy predictions from the World Economic Forum in Davos, where leaders predicted the pace of acquisitions would get hit by rising interest rates, political turmoil and volatile stock markets. Squabbling between buyers and sellers over pricing and risks also didn’t help.

Tuesday

Arconic Inc. surprised shareholders by walking away from Apollo Global Management’s takeover offer, sending shares down 16 percent. Apollo’s bid had valued the aerospace and auto parts maker, whose cladding was implicated in London’s deadly Grenfell Tower fire, at $10.7 billion, people familiar with the matter said.

Wednesday

Liberty Latin America Ltd., the telecom firm split off from billionaire John Malone’s Liberty Global Plc about a year ago, failed to convince Millicom International Cellular SA on the merits of a merger. Talks about a $7.6 billion deal fell apart after Millicom raised concerns about the deal structure and its suitor’s debt levels, people familiar with the matter said.

Canadian utility Hydro One Ltd. also called off its $3.4 billion bid for Avista Corp. after U.S. state regulators nixed the deal.

Thursday

IAG SA, the parent of British Airways, said it wouldn’t make another offer for Norwegian Air Shuttle ASA and that it would sell its 3.93 percent holding in the airline. Norwegian, which had rejected two previous IAG approaches, is closing routes and bases as it struggles with lower fares in Europe.

And it’s not even Friday. Wake us in the spring.

To contact the reporter on this story: Amy Thomson in London at athomson6@bloomberg.net

To contact the editors responsible for this story: Aaron Kirchfeld at akirchfeld@bloomberg.net, Matthew Monks, Chitra Somayaji

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