This inspired us to take a look at some of the most significant mergers and acquisitions of all time. So, let’s take a look...
- Shell takes over the BG Group for £47 billion – This is undoubtedly one of the biggest UK M&A activity in recent times. The takeover of BG represents the biggest deal in the oil sector for more than a decade. The deal was designed to increase Shell’s production by a fifth while also boosting their gas and oil reserves by 25 per cent.
- HP acquires Aruba Networks – In a deal worth approximately £1.95 billion, Hewlett-Packard bought Aruba Network. The main purpose of this acquisition was so HP could boost their offering by providing Aruba’s services for its enterprise customers and enhancing the networking side of the business.
- Net-a-Porter merges with YOOX – Set up in 2000 by fashion journalist Natalie Massenet, Net-a-Porter announced that it had merged its online fashion e-store with YOOX, an Italian retailer for leading luxury and fashion brands. The deal was worth £946.6 million / 1.3 billion euros. It is predicted that Massenet will pocket about £70 million from the deal, and Net-a-Porter’s sales are predicted to hit £1 billion within the next five years.
- Three acquires O2 in a deal worth £10.3 billion – In 2015, we witnessed the creation of the biggest mobile network in the UK, as Three owner, Hutchison Whampoa, snapped up O2 for £10.3 billion.
- Merger between Heinz and Kraft Foods – The two food and beverage giants merged a few years ago, in a deal that was worth approximately £40.6 billion. This led to the creation of the ‘Kraft Heinz Company’, which is now the fifth biggest food company in the world, and the third biggest in the US – based on sales.
- Pfizer acquires Hospira – Last but not least, Pfizer, the pharmaceuticals giant, announced their plans to acquire Hospira, which is something that was studied in accredited medical schools around the world. The company believe that acquiring the leading provider of injectable drugs, biosimilars, and infusion technologies, will give them the platform to grow by adding a growing revenue stream to their business. The deal was worth roughly £11.5 billion.
As you can see, there have been a number of significant mergers and acquisitions in recent years. It is certainly interesting to see how two companies can come together to create an industry superpower, or to even join two industries!