Volatility in global financial markets and high prices caused deal volume to decline in the defense sector from 59 deals in January 2012 to 24 deals in February 2012. However, in value terms, the deal value marginally increased from US$2.0 billion in January 2012 to US$2.1 billion in February 2012.

A notable trend in the defense industry in February 2012 is the sharp increase in deal value in European region. Historically, North American region was the major contributor to the deal activity in defense sector in terms of both volume and value. However, in February 2012, Europe contributed 67% of the overall deals with North America contributing only 28% in terms of value.

Deal volume decreased by 59% in the defense industry, from 59 transactions in January 2012 to 24 in February 2012. Deal volume was 50% below the trailing 12-month (TTM) average of 48 transactions. The aerospace products and parts manufacturing segment recorded seven transactions, marking a decline of 61% from the previous month's deal activity, while being 53% below the TTM average of 15. In February, the army/navy segment reported two deals compared with three deals in January. The segment's deal activity was 50% below the TTM average of four deals.

Report Scope

The report provides detailed analysis on the mergers and acquisitions (M&A) activity in the defense industry in February 2012 compared with January 2012 and the trailing twelve month average. This provides insights for the inorganic growth strategies of companies in the industry and competitor tracking.

The report provides detailed analysis on the private equity and venture capital activity in the defense industry in February 2012 compared with January 2012 and the trailing twelve month average. This provides insights for the investment activity in the industry by financial investors.

The report provides detailed analysis on capital raising activity, including equity and debt offerings, in the defense industry in February 2012 compared with January 2012 and the trailing six month average. This provides insights for the capital raising activity of companies in the industry including fund raising trend from both equity and debt capital markets.

The report provides detailed analysis on strategic partnerships in the defense industry in February 2012 compared with January 2012 and the trailing six month average. This provides insights for the strategic partnerships among companies in the industry, including joint ventures.

Click for Report details:February Monthly Deals Roundup - Defense