A newÂ PwCÂ reportÂ says the value of merger and acquisition deals in the global aerospace and defense industry reachedÂ $24.2 billion during the first half of 2018, a figure that reflects a 30 percent rise over the same period last year.
PwCÂ saidÂ the number of M&A transactions in the A&D sector dropped by 17 percent to 187 deals in the first half of this year, which remains 4 percent higher than the 10-year deal volume average per year.
The report noted that the sectorâs average M&A deal size was $315 million in the first two quarters of 2018, representing a 50 percent increase over the first half of 2017.
PwC said that figure can be attributed toÂ General Dynamicsâ (NYSE: GD) $9.7 billion acquisition of CSRA and the and the agreementÂ BoeingÂ (NYSE: BA)Â unveiled in MayÂ to buy aviation parts and services providerÂ KLXÂ for approximately $4.2 billion, including $1 billion in net debt.
âWe believe the factors impacting commercial aerospace and defense, as well as the industryâs liquidity position, bode well for continued strength in deal making,â said Bob Long, U.S. aerospace and defense deals leader at PwC.