By Jim Costello on March 18th, 2019
Wyatt Avery provided data analysis for this article.
Cross-border acquisition activity in the U.S. hit a near-record level in 2018, largely thanks to a surge in transactions by investors headquartered in Canada. Just how big that surge was in comparison to recent history and to other leading sources of capital is shown in the chart below.
Deal volume from Canadian investors was clearly above trend in 2018 and entity-level transactions from the likes of Brookfield AM, the CPP Investment Board, OMERS, Granite REIT and CDPQ drove this inflow.
Canada was the #1 source of capital into the U.S. for five of the last six years, with China taking the top spot in 2016. China’s flow of capital has been crimped since because of regulations at home, and acquisitions by investors headquartered in China fell to a four-year low in 2018.
This data first appeared in the US Cross-Border Compendium, published on Feb. 20. If you are a current RCA subscriber log into your account to download the report and data file from the RCA website. To get more information about becoming an RCA client, contact us.