SPAC deals propel Q1 M&A activity to strongest start since 1980

Global M&A hits $1.3bn

Anna Fedorova
clock • 2 min read

Global M&A activity has seen the strongest opening since 1980, with worldwide deals totalling $1.3trn year-to-date and 27% of deals between $1bn-$5bn coming from SPACs.

The first quarter saw global M&A activity increase by 93%, according to Refinitiv, the strongest percentage gain in 33 years. This was fuelled by the recently SPAC deal frenzy, with the value and number of deals reaching an all-time quarterly record. Some 103 SPAC combinations have been announced so far in 2021, worth a combined $228.5bn, with the rise in activity leading the US SEC to start an enquiry into the risks involved. SPACs are listed shell companies which raise funds to acquire private companies with the intention of bringing them to the public market, thereby bypassing t...

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