Domestic banking champions across Europe merge, blinking into the sunlight
As the COVID-19 hiatus of bank consolidation activity ends, European bank M&A consolidation activity reaches unprecedented levels.
Introduction
As COVID-19 lockdowns and travel bans across Europe end, so too does the hiatus of European financial services M&A. With M&A surging to levels not seen since the fabled heyday of the 1990s, 2021 promises a bull market of extraordinary proportions.
In this edition, bring you the key deal highlights and M&A trends across Europe and the UK. Focusing on Banks, Fintech and Other Financial Services, we also provide our insights on the outlook for M&A in H2 2021 and beyond.
Key highlights from H1 2021 include the following:
- Banks: As the COVID-19 hiatus of bank consolidation activity ends, European bank M&A
consolidation activity reaches unprecedented levels. - Fintech: E-commerce and online financial services experienced exponential growth during
the COVID-19 pandemic. The significance of digital offerings, and the RegTech
tools to safeguard institutions and customers, has never been more apparent.
Europe's unicorns are at full gallop towards the digital future. - Asset/Wealth Management: Market consolidation continues at a feverish pace. The UK tops the
leader board, notching up 17 noteworthy deals in H1 2021 - Payments: The COVID-19 pandemic drove e-commerce to levels never seen
before—payment rail, service and solution providers responded with
an unprecedented flurry of M&A activity - Stock Exchanges/Clearing Houses/Trading Venues: Global FMI juggernauts snatch up fund platforms, trading venues
and data analytics providers, under the increasingly vigilant gaze of
European competition authorities - Brokers/Corporate Finance: Financial advisers turn to M&A to deliver additional bandwidth,
capability and resources to ride the post-lockdown M&A tidal wave - Consumer Finance: Hyper-specialisation of the European consumer finance market
continues, with POS, entrepreneur, freelancer, migrant and payroll
finance businesses securing growth capital in H1 2021 - Specialty Finance/Marketplace Lending: M&A levels dipped in H1 2021. Whilst institutional banks backed
trade and B2B finance platforms and VC supported P2P, SME and
treasury finance disruptors, both investor categories required
convincing to part with cash
European financial services M&A trends
Europe’s unicorns come of age—COVID-19 lockdowns drive customer familiarity, utilisation and reliance on fintech
E-commerce and online financial services experienced exponential growth during the COVID-19 pandemic. The significance of digital offerings, and the RegTech tools to safeguard institutions and customers, has never been more apparent. Europe’s unicorns are at full gallop towards the digital future.
Asset/Wealth Management
Market consolidation continues at a feverish pace. The UK tops the leader board, notching up 17 noteworthy deals in H1 2021
Payments
The COVID-19 pandemic drove e-commerce to levels never seen before—payment rail, service and solution providers responded with an unprecedented flurry of M&A activity
Stock Exchanges/Trading Venues
Global FMI juggernauts snatch up fund platforms, trading venues and data analytics providers, under the increasingly vigilant gaze of European competition authorities
Brokers/Corporate Finance
Financial advisers turn to M&A to deliver additional bandwidth, capability and resources to ride the post-lockdown M&A tidal wave
Consumer Finance
Hyper-specialisation of the European consumer finance market continues, with POS, entrepreneur, freelancer, migrant and payroll finance businesses securing growth capital in H1 2021
Specialty Finance/ Marketplace Lending
M&A levels dipped in H1 2021. Whilst institutional banks backed trade and B2B finance platforms and VC supported P2P, SME and treasury finance disruptors, both investor categories required convincing to part with cash
