Journey and tourism deal-making exercise down virtually 7% in July
- Deal activity in the travel and tourism sector remains mixed.
- June showed some signs of recovery after falling in recent months.
- The recovery in deal activity could not be sustained for long.
A total of 69 deals (consisting of mergers & acquisitions [M&A], Private equity and venture finance) were announced in the global travel and tourism sector in July 2021, a 6.8% decrease from 74 deals announced the previous month.
Travel and tourism business down nearly 7% in July
Deal activity in the travel and tourism sector remains mixed. While June showed some signs of recovery after falling in recent months, the recovery in deactivation could not be sustained for long as July reversed the trend. This could be attributed to prevailing travel restrictions and unfavorable market conditions for the industry in some countries.
Announcements of private equity and M&A deals declined 58.3% and 4.7%, respectively, in July, while venture finance increased 21.1%.
Deactivity remained at the same level in key markets such as the US, UK and China, while India and Australia saw an improvement in deactivation. Meanwhile, Germany, Spain and the Netherlands saw a decline in transaction activity in July compared to the previous month.
