Flying high: Aerospace and defence M&A

We are pleased to announce the launch of our latest A&D thought leadership Flying high, a review of M&A activity and key trends within the global A&D sector by PwC transaction services.

The last couple of years have been exciting times to be involved in the A&D sector. The total value of disclosed transactions in the sector reached $33bn in 2006, comfortably the highest level since 2000.

What is now beginning to emerge after the turmoil of the first half of the decade is a strengthened industry, growing with renewed vigour and with a truly global appetite for M&A activity.

Our clients within the A&D industry, governments and the financial community frequently seek our advice on the broad industry themes underpinning many of these recent transactions. In this document, we aim to give you a taster of some of the key trends we are identifying and where we feel the Aerospace and Defence M&A market is heading over the next few years.

The key observations that we explore in this paper are:
  • Transatlantic money flows set to resume
  • Outsourcing by the platform and engine primes
  • Smart tier 2/3 suppliers using M&A to gain scale and scope
  • Reacquisition of key technologies by leading companies
  • Private equity participating actively