Transportation/logistics M&A not on track to match 2007 levels

May 16 - Stockhouse - Both deal volume and value in the transportation and logistics industry declined during the first quarter of 2008, according to the PricewaterhouseCoopers LLP Q1 2008 edition of Intersections: Global Transportation & Logistics Mergers and Acquisitions Analysis. Global deal activity is not on track to match the levels seen in 2007; however, the 45 deals (worth at least $50 million each) announced in the first quarter is on track to exceed 2006 levels.The credit markets and slowing deal activity in the United States significantly affected deal volume in the first quarter of the year. When excluding deals in which a U.S. entity was the acquirer or target, the number of deals (38 deals) is on pace to exceed both 2006 and 2007 levels (119 and 142 deals respectively), indicating that a concern over an economic slowdown in the United States may be lowering the attractiveness of U.S. targets - as well as the willingness and ability of U.S. acquirers - to make deals, according to the PwC analysis. Read More.

Get Absorbed: Being acquired can be a very good thing for your business

March 4 - U.S. News & World Report - Enpocket is a 6-year-old software company that helps businesses create and send advertisements to mobile phone users, then monitor data such as click-through rates. The multimillion-dollar company's customer base includes MasterCard and Sprint. "What we're really working on is Web 3.0—what's next for the internet," says former CEO Mike Baker, 44.

What's next for Enpocket? In October, Nokia closed a deal to acquire the Boston-based company for an undisclosed sum as the phone maker moves into the software and services business. "We're a part of that transformation effort," says Baker, whose new title since the acquisition is vice president and head of mobile advertising.

Today, big companies use M&A as a shortcut to new channels, new content, new customers and new competencies. More than $10.5 billion in M&A transactions were announced in the third quarter of 2007 alone—31 percent higher than the third quarter of 2006 and the most in a single quarter since 2000, according to Dow Jones Venture One. Read More.

Michael Howell Discusses 2008 M&A Activity in the Materials Handling Industry

Panelist in Modern Materials Handling Magazine's Webinar, "Industry Outlook 2008"

February 8 - SBWIRE - Michael Howell, Managing Director and head of Downer & Company's Materials Handling Practice Team, explores M&A activity during the recent Industry Outlook 2008 webinar, presented by Modern Materials Handling magazine. The webinar was moderated by Tom Andel, Editor-in-Chief of Modern Materials Handling. Read More.

You can view and listen to the presentation by visiting the following URL: http://event.on24.com/eventRegistration/EventLobbyServlet?target=lobby.jsp&eventid=100018&sessionid=1&key=5347267F12FCA4692D1B67A2C213A8CF&eventuserid=14415072

Transportation and Logistics M&A Deal Volume Hit 20-Year High in 2007

But despite record number of deals, total deal value in 2007 saw significant drop, PricewaterhouseCoopers reports

February 7 - Supply & Demand Chain Executive - Total transportation and logistics merger and acquisition deal volume reached a 20-year high with 1,291 deals in 2007, toppling the prior record reached in 2006, according to a new report from consulting firm PricewaterhouseCoopers.

"Intersections," PwC's quarterly report on M&A in the global transportation and logistics industry, shows that despite the record number of deals, total deal value in 2007 experienced a significant drop to $83 billion, down from the 20-year high of $164 billion set in 2006.

This decline was due in part to several large deals announced in 2006, including competing bids for a passenger air target and the proposed acquisition of another passenger air target, although all but one bid was eventually withdrawn, the consultancy reported. Read More.

M&A deals still overlooking IT integration challenge – study

Research finds no integration within three months of deal completion

The IT integration challenge posed when organisations merge is still being overlooked in many instances of merger or acquisitions, according to research among the membership of the National Computing Centre.

The research found that half of respondents who had worked in the context of a newly merged organisation reported there had been no integration within three months, when the deadline for the merged entity to disclose consolidated financial information comes into effect. Read More.

Transportation and logistics M&A activity continues to make strides

July 17 - Logistics Management - Coming off of a busy 2006 in which there were approximately $7 billion in mergers and acquisition activity in the transportation and logistics market, activity in this space through the first seven months of this year appears to be maintaining that momentum, according to Ben Gordon, managing director of BG Strategic Advisors.

Speaking at the eyefortransport 3PL Summit/Outsourcing Logistics event in Atlanta last month, Gordon likened the brisk rate of deal making in this sector to a form of “winner take all economics,” in which there is a rapid ascension of capital being deployed by private equity and venture capital firms into transportation and logistics companies. Read More.