An aggregate of 102 deals were recorded in the global travel and tourism sector for the month of September 2020, which is a decrease of 11.3% over the 115 deals thst were announced in august, according to GlobalData.
The travel and tourism sector is one of the worst hit due to the COVID-19 outbreak, and therefore deal activity in the sector has also been inconsistent throughout. After an improvement for three consecutive months starting june, deal activity in the sector plummeted once again in September. However, with several countries that are attempting to revive the tourism sector, deal activity could possibly improve in the latter half of the year.
Most of the deals witnessed decline in volume. The number of private equity deals shrank by 41.7% while venture financing, partnerships, debt offerings, venture financing & mergers and acquisition (M&A) deals plummeted by 15.8%, 33.3%, 10.5%, 15.8%, and 3.2% respectively, during September as compared to August 2020, where as there was a surge of 4% in the deal volumes of equity offerings.
There was a decline in deal activity across most countries. While they decreased in key markets like the US, China & Japan during September as compared to the previous month, the UK showcased a marginal improvement where as in South Korea they remained consistent at the same level.