*       Most of the key APAC markets registered subdued deal activity

*       All the deal types under coverage also witnessed massive double-digit decline

*       Resultantly, APAC deal activity down 44.9% M-o-M and 50.5% Y-o-Y in January 2023

Akin to the global trend, the Asia-Pacific (APAC) region also experienced a slowdown in deal activity in January 2023. A total of 843 deals* were announced in the APAC region during the first month of 2023, which is a decline of 44.9% compared to 1,530 deals announced during the previous month and a massive 50.5% decline over January 2022, according to GlobalData, a leading data and analytics company.

Aurojyoti Bose, Lead Analyst at GlobalData, comments: “All regions are witnessing subdued deal activity as several key markets in those regions are experiencing the fallout of dent in deal-making sentiments amid volatile market conditions and the APAC region is not an exception to this.”

An analysis of GlobalData’s Financial Deals Database revealed that China, which is the top APAC market in terms of deal activity, witnessed a massive 46.2% Y-o-Y drop in deals volume in January 2023 and a 49% decline compared to the previous month. Similarly, some of the other key APAC markets such as India, Japan, South Korea, Australia, and Singapore registered 51.6%, 50.7%, 56%, 41.9% and 68.9% Y-o-Y decline in deals volume in January 2023 and M-o-M decline of 20%, 44.4%, 48.6%, 65.2% and 41.7%, respectively. 

Bose adds: “Deal-making in the APAC region followed the global trend and a sharp decline across the key markets in January 2023 reflects the cautious nature of dealmakers. In fact, all the deal types (under coverage) also witnessed decline in volume in January 2023.”

The number of private equity deals, venture financing deals, and merger and acquisitions (M&A) deals in the APAC region declined by 50.8%, 49.1% and 52.5% Y-o-Y in January 2023 and 58.7%, 30.2% and 57% compared to the previous month, respectively.

*Comprising mergers & acquisitions, private equity, and venture financing deals.

(Note Historic data may change in case some deals get added to previous months because of a delay in disclosure of information in the public domain)