New Delhi: Shrugging off tough market conditions, the Asia-Pacific region, including India, saw healthy M&A deal trends in the technology sector last year with volume as well as value surpassing the global averages, says a report.
According to Ernst & Young's global technology M&A report, the Asia Pacific region's deal volume increased 19 percent to reach 552 deals in 2011.
The region's growth is higher than the global average volume growth of 13 per cent. The total volume of deals rose to 3,006 across the world last year from 2,658 in 2010.
In terms of value, technology transactions globally jumped from USD 119 billion in 2010 to USD 167.7 billion in 2011, representing a 41 per cent surge. But Asia-Pacific witnessed a higher jump of 48 per cent to reach USD 24 billion last year, the report noted.
"Asia-Pacific and Japan M&A activity in 2011 grew faster than the global averages in terms of both volume and value, but many of the region’s big-ticket deals involved corporate restructuring in reaction to difficult market conditions," E&Y said.
Cloud computing, smartphones and business analytics areas boosted many of the largest deals, it added.
The region's largest 2011 deal was the USD 2.6 billion pooling of mobile display units from Hitachi, Sony and Toshiba, backed by a Japanese government-funded PE firm.
In terms of region, China led volume growth, increasing to 197 deals for the year from 135 in 2010 China's deals accounted for 36 per cent of the region's total volume.
"The disruptive megatrends of 'social-mobile-cloud' and 'big data' analytics have helped fuel a significant rise in global technology M&A activity since 2009, despite a slight pullback due to macroeconomic pressures in late 2011. The same pressures suggest we might be in for slow growth in 2012.
"...but the long-term outlook for technology M&A remains strong due to ongoing disruptive technology innovation," the report said.
Looking ahead, 2012 could be a slow-growth year for global technology M&A amid an uncertain economic outlook.