KUALA LUMPUR (Jan 20): Malaysia, Indonesia and Thailand saw an increase in mergers and acquisitions (M&As) in 2016 while Singapore slipped, according to a report by Mergermarket.

“This is expected to continue this year as family-owned companies including Indonesia-based SALIM and Thailand’s Chearavanont have plans to expand their business in emerging countries,” Mergermarket said in a statement today.

Energy, mining & utilities was highlighted as the most active sector with 60 deals worth a total of US$12 billion being made, according to the M&A intelligence service. Two out of the top five deals of 2016 were also in this sector, Mergermarket said.

According to Mergermarket, intra-regional activity recorded some US$32.8 billion across 252 deals, up 56.4% by value compared with 2015, led by Thailand and the Philippines.

“Inbound M&A activity has experienced steady growth since 2009 in terms of deal volume, reaching a record high in 2016,” the intelligence service said, based on its data compiled since 2001.

Technology, media & telecommunication was the most targeted inbound sector, while outbound activity shrunk by contrast.

“Southeast Asian countries were more cautious towards larger deals, resulting in a significant decrease in the average outbound deal size (to a total deal value of US$22.7 billion in 2016, down 60.5% from 2015),” Mergermarket said.

Meanwhile, private equity buyouts were almost unchanged with 2015 levels and were most popular in the business services and pharma, medical and biotech sectors.