Travel and tourism recorded a 10.4 per cent YoY decline in deal activities during January to July 2024, stated a report by GlobalData. While the period in review recorded a total of 415 deals, the same period in the previous year posted 463 deals. These were mergers and acquisitions (M&A), private equity, and venture financing deals.
Aurojyoti Bose, Lead Analyst at GlobalData, said, “Deal activity remained a mixed bag across different regions and countries, with some of them experiencing a fall in deal volume, while others showcasing improvement. And the same was the case with the deal types under coverage as well.”
It further stated that a significant part of the decline was driven by North America, which saw its deal volume fall by 30.9 per cent during January-July 2024 compared to the same period during 2023. Asia-Pacific and South and Central American regions also showcased a YoY (year-on-year) decline of 16.3 per cent and 42.9 per cent in deal volume during January-July 2024, respectively.
Contrastingly, Europe saw YoY improvement in deal volume by 16.8 per cent during the review period as some of the key markets in the region witnessed growth in the number of deals, whereas deal volume for the Middle East and Africa mostly remained static.
Meanwhile, key markets including the US, South Korea, China, Australia, and France witnessed a 30.4 per cent, 5.6 per cent, 50 per cent, 27.8 per cent and 45 per cent decline in deal volume during January-July 2024 compared to the same period in the previous year. However, markets such as the UK, India, Japan, Spain, and Germany experienced improvement in deal volume during the review period.
GlobalData also stated that the volume of M&A deals declined by 6.6 per cent during January-July 2024 compared to January-July 2023, whereas the number of venture financing deals fell by 25.4 per cent YoY. Meanwhile, the deal volume for private equity deals improved by 21.4 per cent.