Power, utility deal volume jumped 43%

Deal value also up 15%.

According to Ernst & Young, Asia-Pacific saw significant activity with a 43% increase in deal activity and 15% increase in deal value. China dominated the transaction markets, leading both domestic and cross-border deals in the region. 

Domestic consolidation, particularly in the gas T&D market, produced several megadeals in the region and domestic deals in the country accounted for over US$15b of deal value.

Here's more from Ernst & Young:

Regulatory and market reforms opens up transaction opportunities Uncertainty in relation to the generation mix in Japan incentivized Japanese investors to pursue outbound investment in 2013 and attractive valuations and distressed assets have encouraged investors in both China and Japan to explore growth opportunities in developed markets.

While China’s largest utility picked up stakes in electricity T&D assets in Australia, Japanese investors were active in Europe, acquiring key regulated assets in the region.

Asia-Pacific saw significant activity with a 43% increase in deal activity and 15% increase in deal value. China dominated the transaction markets, leading both domestic and cross-border deals in the region. Domestic consolidation, particularly in the gas T&D market, produced several megadeals in the region and domestic deals in the country accounted for over US$15b of deal value.

Regulatory and market reforms opens up transaction opportunities. Uncertainty in relation to the generation mix in Japan incentivized Japanese investors to pursue outbound investment in 2013 and attractive valuations and distressed assets have encouraged investors in both China and Japan to explore growth opportunities in developed markets.

While China’s largest utility picked up stakes in electricity T&D assets in Australia, Japanese investors were active in Europe, acquiring key regulated assets in the region.

Global power and utility (P&U) transaction activity shows signs of recovery with deal volumes reaching a three-year high of 398 total deals in 2013, with a value of US$125.4b, according to EY’s quarterly Power transactions and trends report. These numbers represent growth of 30.1% in deal volumes and 4.1% in deal value respectively, compared to 2012.