Europe saw a 12.5 pc improvement in deal volume during January-August 2024 compared to January-August 2023
A total of 456 mergers and acquisitions (M&A) deals, private equity and venture financing were announced in travel and tourism sector for the period of January to August 2024.
In a report, London-based data analytics company GlobalData says that there has been a year-on-year (YoY) decline of 12.6 pc in deal volume.
According to an analysis of GlobalData’s deals database, the travel and tourism sector had seen 522 deals during January-August 2023.
Aurojyoti Bose
“The travel and tourism sector’s deal activity reflects a cautious approach by deal-makers even though the regional and country-specific data reveal a mixed picture with majority experiencing contraction,” says Aurojyoti Bose, Lead Analyst at GlobalData.
It says that during January to August 2024, North America, Asia-Pacific, and South and Central America regions reported year-on-year decline in deals volume of 32.9 pc, 17.9 pc and 21.4 pc, respectively, whereas the number of deals for the Middle East and African region mostly remained at the same levels.
However, Europe saw a 12.5 pc improvement in deal volume during January-August 2024 compared to January-August 2023.
The report says that the United States, China, Australia and France experienced YoY decrease in deal volume by 32.9 pc, 44.1 pc, 25 pc, and 47.6 pc, respectively, during January-August 2024.
However, deal volume in the United Kingdom, South Korea and India mostly remained at the same levels, whereas Japan, Germany and Spain witnessed improvements.
The analysis says that the number of M&A deals and venture financing deals y-o-y decreased by 9.2 pc and 25.8 pc, respectively during the review period. Private equity deal volume, on the other hand, remained flat.
“This period of reduced deal flow could signal an impending shift, with potential for strategic realignments and targeted investments as the sector adapts to new post-pandemic realities and evolving consumer preferences. Deal makers should remain attentive to the emerging trends and opportunities that may drive future growth in this dynamic sector,” Bose adds.
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