Source: UNCTAD.
Worldwide Mergers and Acquisitions, 1987-2006 (in millions of current USD)
Mergers and acquisition (M&A) are a strategy for firms to expand globally. Since M&A are also financial transactions requiring large amounts of capital, they are linked with the phases of boom and bust in the financial sector, which explains a strong growth before 2000 and then a collapse followed by another boom.