One-third fall in bids for public companies

THE NUMBER of bids for public companies in the UK fell by more than a third in the first nine months of the year.

According to Acquisitions Monthly, the total was down to 43 from 67 in the comparable period last year, when business was also depressed by the Gulf war.

The value of bids, however, was higher at pounds 12.4bn against pounds 10.7bn, reflecting the pounds 3.7bn merger of Hongkong & Shanghai Banking Corporation and Midland Bank. Activity fell away in the summer after a buoyant first quarter and the third quarter produced only 10 deals at a value of pounds 307m.

Activity in the private sector also declined to 500 deals in the first three quarters against 575 last year. The value of the deals was pounds 3.7bn, a drop from pounds 4.5bn.

The management buyout market was also down, producing 251 deals against 274 at a value of pounds 1.31bn against pounds 1.29bn.

A more encouraging note was struck in Europe with UK companies acquiring 139 continental businesses, with a combined worth of pounds 1.35bn, in the nine months against 127 acquisitions worth pounds 929m in the comparable period last year.

The adviser league tables for the nine months put Schroders top of the tree for the number of transactions and SG Warburg in the lead by value of transactions.

ABN Amro, the Dutch bank, put in an appearance at number 13 in the volume league table and number 15 in the value table after taking over the stockbroker Hoare Govett earlier this year.

------------------------------------------------------------------------ LEADING ADVISERS ON UK PUBLIC BIDS by value, Jan-Sep 1992 (pounds m) ------------------------------------------------------------------------ 1 SG Warburg 4,542 2 Schroders 4,082 3 Samuel Montagu 3,838 4 Morgan Grenfell 721 5 Lazard 594 6 Baring Brothers 570 7 NM Rothschild 193 8 Kleinwort Benson 152 9 Hambro Magan 133 10 Robert Fleming 129 ------------------------------------------------------------------------ Source: Acquisitions Monthly ------------------------------------------------------------------------