Toronto—Mergers and acquisitions in the global logistics market are expected to be softer than 2007 levels, according to a report from PricewaterhouseCoopers.
Activity slowed during the third quarter, with only 37 deals, bringing the total number of deals to 125 for the first three quarters of the year. The figure is off from the 193 deals announced for the same period in 2007.
“It is now apparent that the faltering credit markets have caused a slowdown in both domestic and international deal activity,” said Todd Thornton, Canadian transportation and logistics leader at PwC.
Deal activity in the fourth quarter is not expected to exceed the levels seen in the third quarter, and may decline, the report found. In previous quarters, due to a weakening US economy, the pace of transportation and logistics deal activity outside the US was ahead of the average. But the study shows markets outside the US are also slowing down in terms of mergers and acquisitions.