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DATA ON INTERNATIONAL
MERGERS AND ACQUISITIONS
FDI Statistics Workshop
Measuring globalisation: Better data for better policy
20 March 2014
Michael Gestrin, Investment Division
FDI flows and IM&A
2
0
10
20
30
40
50
60
70
80
90
100
0
500
1000
1500
2000
2500
US$billions
IM&A
FDI outflows
IM&A/FDI
3
The UK’s outward FDI and IM&A
0
50
100
150
200
250
300
350
2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
US$billions
IM&A
Outward FDI
4
China’s outward FDI
0
10
20
30
40
50
60
70
2003 2004 2005 2006 2007 2008 2009 2010 2011 2012
US$billions
5
China’s net outward IM&A
0
10
20
30
40
50
60
70
80
2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
US$billions
IM&A
ID
Net IM&A
6
The UK’s net outward IM&A
-50
0
50
100
150
200
250
300
2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
US$billions
IM&A
ID
Net IM&A
7
China’s inward FDI
0
50
100
150
200
250
300
1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
US$billions
8
China’s net inward IM&A
0
5
10
15
20
25
30
35
40
45
50
1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
US$billions
Gross IM&A
Divestment
Net IM&A
• IM&A is not directly comparable to FDI, but
the correlations between the series makes
it useful for projections;
• The level of fineness in IM&A allows us to
look to trends that don’t come out in FDI
series;
• Big differences between IM&A can provide
clues for patterns or trends that might
signal areas in need of further analysis.
Conclusions
9

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Data on international mergers and acquisitions - Michael Gestrin - 2014 FDI Statistics Workshop

  • 1. DATA ON INTERNATIONAL MERGERS AND ACQUISITIONS FDI Statistics Workshop Measuring globalisation: Better data for better policy 20 March 2014 Michael Gestrin, Investment Division
  • 2. FDI flows and IM&A 2 0 10 20 30 40 50 60 70 80 90 100 0 500 1000 1500 2000 2500 US$billions IM&A FDI outflows IM&A/FDI
  • 3. 3 The UK’s outward FDI and IM&A 0 50 100 150 200 250 300 350 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 US$billions IM&A Outward FDI
  • 4. 4 China’s outward FDI 0 10 20 30 40 50 60 70 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 US$billions
  • 5. 5 China’s net outward IM&A 0 10 20 30 40 50 60 70 80 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 US$billions IM&A ID Net IM&A
  • 6. 6 The UK’s net outward IM&A -50 0 50 100 150 200 250 300 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 US$billions IM&A ID Net IM&A
  • 7. 7 China’s inward FDI 0 50 100 150 200 250 300 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 US$billions
  • 8. 8 China’s net inward IM&A 0 5 10 15 20 25 30 35 40 45 50 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 US$billions Gross IM&A Divestment Net IM&A
  • 9. • IM&A is not directly comparable to FDI, but the correlations between the series makes it useful for projections; • The level of fineness in IM&A allows us to look to trends that don’t come out in FDI series; • Big differences between IM&A can provide clues for patterns or trends that might signal areas in need of further analysis. Conclusions 9

Editor's Notes

  1. Direction and rate of change track very closely, but IM&A available much faster, good leading indicator for FDIAlso, we can see that IM&A becomes more important as a share of FDI during upturns and less important during downturns. Possible explanation is that non-equity component becomes more important in FDI during downturns.When we look at the micro-data on IM&A, we find that the idea that this is just a transfer of ownership is something of a myth. IM&A often includes significant capital infusions and will also transfers other than just financing.
  2. FDI and IM&A can track closely at the country level as well, but not always the case.
  3. China’s FDI and IM&A data also track closely.In looking at IM&A, useful to remember that this is a gross figure, divestements are not included.We see, as a ‘young’ outward investor, China has very little divestment.