Engineering growth: Global engineering & construction industry mergers and acquisitions analysis - 4Q 2009

Innovation: A course to recovery

Welcome to Engineering growth, PwC's quarterly analysis of mergers and acquisitions (M&A) in the global engineering and construction industry. In addition to a detailed summary of M&A activity in the fourth quarter of 2009, we supplement this issue with a special report that discusses innovation as a course to recovery. It highlights the many faces of innovation and the related opportunities for resolving business strategy issues, improving efficiencies, and accelerating growth.

In the fourth quarter 2009, data reveals that the pace of deal activity continued to gain momentum, both in terms of deal value and volume. Similar to overall M&A activity, large deal activity showed sequential improvement throughout 2009, increasing from two transactions in the second quarter to four during the fourth quarter.

Looking ahead into 2010, although a global economic recovery is under way, some economists expect the recovery to be subdued while others believe a double-dip recession is probable.