Largest Mergers and Acquisitions by Corporations: 2004

Order Code RS21726 Updated January 3, 2005 CRS Report for Congress Received through the CRS Web Largest Mergers and Acquisitions by Corporations: 2004 John Williamson Technical Information Specialist Resources, Science, and Industry Division Summary After a mixed year in 2003, mergers and acquisitions activity increased in 2004.1 This report provides a listing of the largest mergers (announced value of at least two billion U.S. Dollars) or acquisitions during 2004 through December 31, 2004. Completion dates for the mergers or acquisitions are included and merger or acquisition failures noted. These data have been drawn from publicly available sources and have not been otherwise verified by CRS. (For the top 25 mergers of 1998, see CRS Report RS20502, Twenty-five Largest Mergers and Acquisitions by Corporations: 1998; for the top 25 mergers of 1999, see CRS Report RS20503, Twenty-five Largest Mergers and Acquisitions by Corporations: 1999; for the top 25 mergers of 2000, see CRS Report RS20504, Twenty-five Largest Mergers and Acquisitions by Corporations: 2000; for the top 25 mergers of 2001, see CRS Report RS20804, Twenty-five Largest Mergers and Acquisitions by Corporations: 2001; for the top 25 mergers of 2002, see CRS Report RS21147, Largest Mergers and Acquisitions by Corporations: 2002; and for the top mergers of 2003, see CRS Report RS21415, Largest Mergers and Acquisitions by Corporations: 2003.) This report will not be updated. Largest Mergers or Acquisitions: 2004 (ranked by value) (All amounts cited are U.S. Dollars) Acquirer, Sector, and New Name (if applicable) Royal Dutch Shell PLC (formerly Royal Dutch Petroleum Co. NV) Energy Sanofi-Synthélabo SA Pharmaceuticals Target Firm and Sector Shell Transport & Trading PLC Energy Aventis SA Pharmaceuticals Date Date Value Announced Completed ($ billions) 10/28/04 Pending* $185.04 1/26/04 9/20/04 1 65.04 Berman, Dennis K. “Simmering M&A Sector Reaches a Boi; Crush of December Activity Signals M&A Is Heating Up; Will ‘Deals Beget Deals’?” Wall Street Journal, January 3, 2005. p. R10. Congressional Research Service ˜ The Library of Congress CRS-2 Acquirer, Sector, and New Name (if applicable) J.P. Morgan, Chase & Co. Banking and finance Cingular Wireless LLC (SBC Communications and Bell South) Cellular telephone operator Sprint Telecommunications Sprint Nextel Telecom Italia Sp.A. Telecommunications Johnson & Johnson Medical supplies Revival Acquisitions (Philip Green) Investor LNM Holdings Holding company Mittal Steel Santander Central Hispano SA Banking and finance Wachovia Corp. Banking and finance Symantec Inc. Software General Growth Properties, Inc. Real estate development Exelon Energy Interbrew SA Beverages ESL Investments (Kmart) Investment company Sears Holdings Royal Bank of Scotland plc Banking and finance Harrah’s Inc. Casino operator MGM-Mirage Inc. Casino operator Cox Enterprises Family holding company Yamanouchi Pharmaceutical Co. Pharmaceuticals SunTrust Banks Banking and finance North Fork Bancorp. Banking and finance Target Firm and Sector BankOne Banking and finance AT&T Wireless Cellular telephone operator Date Date Value Announced Completed ($ billions) 1/14/04 7/1/04 58.03 2/17/04 10/26/04 41.07 Nextel Telecommunications 12/14/04 Pending* 35.06 TIM Sp.A. Telecommunications Guidant Inc. Medical equipment Marks & Spencer Plc Retail 12/6/04 Pending* 26.93 12/6/04 Pending* 25.43 6/3/04 Withdrawn 7/14/04 16.54 Ispat International NV Steel 10/25/04 12/17/04 16.34 7/23/04 11/15/04 15.64 6/21/04 11/1/04 14.36 12/14/04 Pending* 13.56 8/20/04 11/12/04 12.66 12/18/04 Pending* 12.04 3/1/04 8/27/04 11.16 11/17/04 Pending* 11.06 5/4/04 9/1/04 10.54 7/14/04 Pending* 10.04 6/5/04 Pending* 7.96 8/2/04 12/8/04 7.96 Abbey National plc Banking and finance SouthTrust Corp. Banking and finance Veritas, Inc. Software Rouse Co. Real estate development PSEG Enterprises Energy Companhia de Bebidas das Americas SA Beverages Sears, Roebuck & Co. Retail Charter One Financial, Inc. Banking and finance Caesar’s Entertainment Inc. Casino operator Mandalay Enterprises Inc. Casino operator Cox Communications Inc. Telecommunications Fujisawa Pharmaceutical Co. Pharmaceuticals National Commerce Financial Banking and finance GreenPoint Financial Banking and finance 2/24/04 7.776 4/05 (Projected) 5/10/04 10/1/04 7.04 2/15/04 6.34 10/1/04 CRS-3 Acquirer, Sector, and New Name (if applicable) Morgan Stanley British Land plc Alwaleed bin Talal Glick family Tisch Group Investors Regions Financial Corp. Banking and finance Telefónica SA Telecommunications Cemex SA Building materials Xstrata Mining International Power Plc Utility Mitsui & Co. Trading Carl Icahn Investor Singapore Power Ltd. Power Apax Partners, Inc. Permira Advisers, Ltd. Apollo Advisors, L.P. Madison Dearborn Partners Investors Clayton Dubilier & Rice Eurazeo Merrill Lynch Private Equity Investors France Telecom SA Telecommunications Simon Property Group, Inc. Real estate Sony Technology and entertainment Providence Equity Partners Texas Pacific Group Credit Suisse First Boston Private investor groups JP Morgan Chase Banking and finance Comcast Inc. Cable operator CVS Jean Coutu Drugstores General Electric Conglomerate Mittal Steel Steel Target Firm and Sector Canary Wharf plc Real estate company Union Planters Corp. Banking and finance BellSouth Latin America Telecommunications RMC Group Plc Building materials WMC Resources Mining Edison International generating Utility Date Date Value Announced Completed ($ billions) 3/19/04 5/21/04 6.114 1/23/04 7/1/04 6.13 3/4/04 10/29/04 6.06 9/27/04 1/25/05 (projected) 11/22/04 Pending* 5.86 5.84 7/30/04 7/30/04 5.56 Mylan Laboratories Pharmaceuticals TXU Australia Power Intelsat Ltd. Satellite operator 11/19/04 Pending* 5.44 4/26/04 7/30/04 8/16/04 Pending* 5.04 Rexel SA Electrical equipment distributor 11/30/04 Pending* 4.94 2/23/04 8/ 1/04 4.84 6/21/04 10/14/04 4.86 9/13/04 Pending* 4.84 4/5/04 8/1/ 04 CitiCapital Transportation Financial 11/22/04 Services Commercial truck financing International Steel Group 10/25/04 Steel Pending* 4.43 Pending* 4.54 Wanadoo SA Internet service provider Chelsea Property Group, Inc. Real estate MGM Inc. Entertainment Eckerd Drug Drugstores 5.136 4.536 CRS-4 Acquirer, Sector, and New Name (if applicable) Banco Bilbao Vizcaya Argentaria SA Banking and finance Juniper Networks Inc. Router manufacturer Mylan Laboratories Pharmaceuticals Toronto-Dominion Bank Banking and finance Madison Dearborn Investments Private investors Heilman & Friedman Texas Pacific Kohlberg, Kravis, Roberts & Co. Blackstone Partners Private investors Texas Genco LLC Fisher Scientific International Lab equipment Kohlberg, Kravis Roberts & Co. Investment company Molson Inc. Beverages Noble Energy Oil and gas HSBC Plc Banking and finance Carlsberg AS Beverages May Department Stores, Inc. Retailer CVC Capital Partners Ltd. Permira Advisers Ltd. Investors Group 4 Falck A/S Security Group 4 Securicor A/S DaVita Medical services Softbank Inc. Telecommunications Marathon Oil Corp. Oil company Bayer AG Chemicals and drugs United Technologies Corp. Conglomerate Citigroup Inc. Banking and finance Target Firm Date and Sector Announced Grupo Financiero BBVA Bancomer 2/2/04 SA Banking and finance NetScreen Technologies Inc. 2/9/04 Security software King Pharmaceuticals 7/26/04 Pharmaceuticals Banknorth 8/25/04 Banking and finance Boise Cascade papermaking 7/26/04 Forest products Texas Genco 7/22/04 Electricity generator Apogent Technologies Inc. Lab equipment PanAmSat Satellite operator Adolph Coors Co. Beverages Patina Oil and Gas Oil and gas Korea First Bank Banking and finance Carlsberg Breweries (40% of stock from Orkla ASA) Brewer Marshall Field & Co. Retailer Automobile Association Roadside assistance Securicor plc Security Gambro AB U.S. operations Dialysis center operator Japan Telecom Telecommunications Ashland Oil (share of joint venture) Oil company Roche Holding AG’s nonprescription drug division Pharmaceuticals Kidde Plc Fire protection Koram Bank Banking and finance Date Value Completed ($ billions) 3/19/04 4.16 4/19/04 4.06 Pending* 4.04 Pending* 3.86 10/29/04 3.74 Pending* 3.654 3/17/04 8/30/04 3.66 4/20/04 8/20/04 3.554 7/22/04 Pending* 3.46 12/16/04 Pending* 3.44 11/12/04 Pending* 3.274 2/19/04 3/4/04 3.243 6/9/04 7/30/04 3.246 7/1/04 9/30/04 3.26 2/2/04 7/20/04 3.124 12/7/04 Pending* 3.054 5/26/04 7/30/04 3.044 3/19/04 3/05 (Projected) 7/19/04 1/1/05 3.06 3.06 12/16/04 Pending* 2.784 2/23/04 11/1/04 2.736 CRS-5 Acquirer, Sector, and New Name (if applicable) Kohlberg, Kravis Roberts & Co. Investment company Rockwood Chemical EnCana Corp. Natural gas producer J.P. Morgan, Chase Bank Banking and finance Air Liquide S.A. Industrial gases Volkswagen AG Abu Dhabi Olayan Group Kerr-McGee Corp. Oil and natural gas Deutsche Telekom AG Telecommunications Kohlberg, Kravis, Roberts Investors Southern Union Co. GE Capital Albertson’s Grocery retail Ameren Corp. Utility holding company Lyondell Chemical Corp. Chemicals General Electric Co. Conglomerate Macerich Real estate Axa S.A. Insurance Goldcorp Inc. Gold mining National City Corp. Banking and finance Warburg Pincus Blaine Capital Silverlake Partners Investors Pioneer Natural Resources Co. Oil & natural gas Gold Fields, Ltd. Gold mining Gold Fields International, Ltd. Telekom Austria Telecommunications National Grid Transco Plc Power grid manager Gridcom Plc Target Firm and Sector Dynamit Nobel Chemicals Tom Brown Inc. Natural gas producer Egg PLC Internet bank Messer Griesheim GmbH Industrial gases LeasePlan B.V. Vehicle leasing Westport Resources Corp. Oil and natural gas Cingular airwave licenses in California, Nevada Masonite Building materials CrossCountry Energy Pipeline company Shaw’s Supermarkets Grocery retail Illinois Power Co. Utility Millennium Chemical Corp. Chemicals Boeing Capital Corp. Commercial lender Wilmorite Property & Holdings Real estate Axa Asia Pacific Holdings Ltd. Insurance Wheaton River Holdings Ltd. Gold mining Provident Financial Group, Inc. Banking and Finance UGS-PLM Software Evergreen Resources, Inc. Oil & natural gas Iamgold Corporation Inc. Gold mining MobilTel Mobile telephone operator Crown Castle UK (UK cell phone transmission towers) Date Date Value Announced Completed ($ billions) 4/19/04 8/20/04 2.76 4/15/04 5/24/04 2.76 2.584 7/20/04 Cancelled 8/3/04 1/20/04 5/7/04 2.533 2/21/04 9/30/04 2.524 4/7/04 6/25/04 2.53 5/25/04 10/26/04 2.55 12/22/04 Pending* 2.54 9/1/04 11/17/04 2.56 3/26/04 4/30/04 2.486 2/3/04 10/1/04 2.37 3/29/04 12/1/04 2.36 5/12/04 7/26/04 2.33 12/23/04 Pending* 2.34 8/6/04 Withdrawn 10/18/04 12/27/04 Pending* 2.24 2.193 2/17/04 7/1/04 2.14 3/14/04 5/27/04 2.14 5/4/04 9/28/04 2.14 8/11/04 Pending* 2.14 11/29/04 Pending* 2.14 6/28/04 8/31/04 2.046 CRS-6 Acquirer, Sector, and New Name (if applicable) Deutsche Bank AG Banking and finance Carlyle Group Investor group Target Firm and Sector Scania AB (Volvo AB divested stock under orders from EU) Truck builder Verizon Corp. phone lines (Hawaii, New York) Telecommunications AgustaWestland Plc Helicopter manufacturer DDI Pocket Inc. Wireless data service provider Date Date Value Announced Completed ($ billions) 3/4/04 4/14/04 2.034 2/20/04 5/31/04 2.06 Finmeccanica SpA 5/26/04 10/9/04 2.04 Conglomerate Kyocera Corp. 5/27/04 10/1/04 2.06 Carlyle Group Investors * The designation “Pending” often indicates that regulatory approval needed for actual merger has not been obtained. Note: Values given for transactions are expressed as the value of the combined assets of the two firms when there is a merger. In an acquisition, the value shown is the purchase price of the target corporation. These figures sometimes vary from one source to another and can change as the market value of the company’s stock changes; values are shown in U.S. Dollars. U.S. Dollar value can fluctuate with changes in exchange rates. The values shown above are derived from the following sources: 1 Source for value: Mergers & Acquisitions. 2 Source for value: Mergerstat. 3 Source for value: The Wall Street Journal. 4 Source for value: The Financial Times. 5 Source for value: The Washington Post. 6 Source for value: bloomberg.com 7 Source for value: forbes.com Sources: Mergerstat Online [http://www.mergerstat.com]; Mergers & Acquisitions Magazine, various issues; The Wall Street Journal, various dates; The Financial Times, various dates; announcement and closing dates from The Wall Street Journal or The Financial Times, various dates.