PwC Capital Markets Flash

Volume 4, Issue 14 - June 23, 2011

In this in-focus edition of Capital Markets Flash, we hone in on M&A, which is typically one quarter to one half of annual Canadian Direct Investment Abroad (CDIA). Specifically, we wanted to know if, like overall CDIA, Canadians were lagging the broader trend with regard to acquisitions into the most coveted of emerging markets – Brazil, Russia, India and China: the so-called “BRICs." Our analysis revealed that many Canadian corporations have been underachievers in deal making in the BRIC regions.

5 key findings highlighted in the report include:

1. Canadians are less acquisitive in the BRICS than most developed nation peers.
2. Canadian entities lag most nations by measures of absolute BRIC-bound deal dollar volumes, but outpace many peers by measures of dollar volume growth.
3. Private Canadian companies are on the sidelines. Public company buyers dominate.
4. Canadians are most acquisitive in the materials sector.
5. Canadians are adopting an “all or nothing” approach, favouring majority stake acquisitions.

Please download the full report to read our detailed analysis.

Capital Markets Flash Download the full PDF.

In Focus: Deal making in BRIC nations - June 23, 2011 Download the full PDF.