While pressure from rising interest rates, recession fears and increasing regulatory scrutiny contributed to a year-on-year decline in global merger and acquisitions activity in most sectors during 2023, the energy sector defied the trend, with total valuations surging to their highest level since 2016.
According to PitchBook’s annual Global M&A Report, the energy sector concluded the year with a total of 1135 deals, amounting to $381bn, an 8.2 per cent increase year-on-year. Moreover, median deal size reached a significant high of $109mn, an 11.8 per cent increase from the $97.5mn recorded in 2022 and a substantial 39.7 per cent rise from the $78mn reported in 2021.
