American firms, by contrast, have stepped up takeover activity abroad, particularly in Germany which has now overtaken Britain as the most favoured destination for US corporate purchases aboard. Globally the value of cross- border deals is down from $160.45bn to $137.82.
Stephen Barrett, the head of UK mergers and acquisitions at KPMG Corporate Finance, said: "British companies have been drawing in their horns. Their appetite for doing deals has been spoiled by the turmoil in financial markets."Reuse content