2016年全球化工行业并购展望（英文版）_22页-2mb

Summary of Deloitte 2016 Global Chemical Industry Mergers and Acquisitions Outlook

Core Content

The Deloitte 2016 Global Chemical Industry Mergers and Acquisitions Outlook provides an analysis of the M&A landscape in the chemical industry, emphasizing the trend of focusing on core businesses to drive growth and shareholder value. The report highlights the ongoing transformation in the sector, driven by economic challenges, market pressures, and strategic realignment efforts.

Main Points

M&A Activity Trends

• In 2015, global chemical M&A activity exceeded the previous six-year average by over 6 percent in terms of deal volume.
• The total global deal value set new records, with 16 deals valued at over US$1 billion, including the proposed US$73 billion Dow and DuPont merger.
• The number of large deals (over US$1 billion) increased from 2014 to 2015, indicating a shift towards more significant transactions.

Market Pressures

• Global commodity price declines in agriculture, metals, and energy affected demand for chemical products.
• Low oil prices (below US$40 per barrel) continued to impact deal valuations and upstream petrochemical prices.
• Economic growth rates slowed in key regions, contributing to a challenging environment for chemical companies.

Growth Through Focus

• Companies are increasingly pursuing M&A to enhance their competitive position and focus on core competencies.
• The agricultural chemicals segment saw significant deal activity, with the Dow and DuPont merger expected to result in three new companies, each with a stronger focus on specific markets.
• Air Liquide's acquisition of Airgas is another example of companies combining complementary businesses to expand their offerings and geographic presence.

Spin-Offs and Strategic Realignments

• Spin-offs have become a common strategy for portfolio rationalization and focus.
• While spin-offs may not be as frequent as M&A transactions, they often provide greater after-tax benefits and higher market valuations.
• The Dow and DuPont merger is expected to result in two major spin-offs, further increasing the trend of spin-offs in the industry.

Additive Manufacturing

• Additive manufacturing is emerging as a disruptive technology that could influence future M&A activity.
• It offers cost advantages through economies of scale and scope, and is expected to drive demand for specialty chemicals.
• The global chemical industry is likely to see increased collaboration and investment in this area.

Segment-Specific Activity

• Commodities: Deal volume was relatively flat, but companies focused on efficiency and cost reduction due to depressed pricing.
• Intermediates and Specialty Materials: Companies continued to strengthen their core through acquisitions, targeting high-performance materials for sectors like automotive and aerospace.
• Fertilizers and Agricultural Chemicals: The segment faced declining farm incomes, prompting cost-cutting and potential consolidation.
• Industrial Gases: The sector experienced growth through strategic acquisitions, such as Air Liquide's purchase of Airgas.
• Diversified: The Dow and DuPont deal was the largest in the industry, with a focus on cost and growth synergies, but is unlikely to be repeated in 2016 due to complexity and limited number of similar entities.

Key Geographies

United States

• M&A volume declined by nearly 10 percent in 2015, but deal values increased due to large transactions like the Dow-DuPont merger and Air Liquide's acquisition of Airgas.
• The US is expected to see continued high M&A activity in 2016 due to ongoing consolidation efforts and favorable financial conditions.

Outlook for 2016

• The potential Dow and DuPont merger is expected to drive consolidation in the agricultural chemicals segment.
• The industry will likely continue to pursue M&A and spin-offs to simplify business models and enhance focus.
• Additive manufacturing and other emerging technologies may open new opportunities for collaboration and growth.
• M&A markets may adjust to low oil prices as the new normal, potentially reducing their impact on deal activity.
• The US and other key regions are expected to lead M&A activity, while some areas may see a decline.

Conclusion

The chemical industry in 2016 is anticipated to continue its trend of strategic M&A and spin-offs aimed at enhancing focus and efficiency. Despite market challenges, companies are leveraging these opportunities to drive growth and innovation, particularly in segments like agricultural chemicals and industrial gases. The industry's ability to adapt and transform will be crucial in navigating the evolving landscape.