Aviva (AV) Leads Busy UK Christmas M&A Week with Major Acquisition Moves

UK dealmakers are gearing up for the busiest Christmas M&A week in years, with significant transactions approaching bid deadlines. Aviva Plc is leading the charge, working to finalize a £3.6 billion ($4.5 billion) acquisition of Direct Line Insurance Group Plc. Under UK takeover rules, Aviva must announce a definitive deal by Christmas Day. Meanwhile, Macquarie Asset Management is in advanced talks to acquire waste management firm Renewi Plc for £701 million, with a deadline of December 26.

If both deals succeed, this would mark the busiest Christmas M&A week since 2018. According to MKP Advisors’ Tony White, UK regulations require bidders to finalize offers within 28 days of announcing intentions, making every day crucial, even during holidays. This activity signals a resurgence in UK M&A activity, expected to continue through 2025.

Additionally, Esyasoft Holdings plans to announce a firm offer for Good Energy Group Plc, a renewable energy supplier, before December 23. Recently, Malcolm Denmark agreed to acquire National World Plc for £65 million.

UK M&A activity has rebounded, with total deals up 82% to $177 billion this year, despite concerns about potential tax increases under a new government. Strategic buyers and private equity firms remain active, with nearly a third of AIM-listed mid-cap companies potentially affected by increased interest.