This report presents an analysis of North American merger and acquisition activity in the power and utilities industry.
Key trends in Q2 2015
Nine of the ten power and utilities transactions with announced deal values greater than $50 million in the second quarter were renewable power deals, totaling $2.7 billion in deal value.
The one power and utilities transaction greater than $50 million outside of the renewable space in the second quarter was a transmission deal worth $281 million. The ten deals greater than $50 million in the second quarter represented a decrease compared to the 13 deals in the same period last year. Deal value of $3.0 billion was down significantly from the $34.9 billion in the same period last year, which included six megadeals (deals greater than $1 billion) and was the highest level of megadeals since the second quarter of 2006.
YieldCos accounted for 85 percent of deal activity as they looked to the renewable space to drive growth and returns. While no deals consummated this quarter, PwC continues to see strong interest in regulated returns, and the potential for utility transactions in the coming year.