U.S. Companies Are Top Merger Targets

U.S. companies remained the world’s No. 1 target for mergers in the year’s first half despite a modest slowdown that more closely followed the trend in emerging nations, a new survey reports.

The KPMG Peat Marwick study, found the pace of cross-border acquisitions picked up in developed nations but shrank in emerging markets during the six-month period. International deals fell 6 percent to a total value of $110 billion. KPMG’s first-half tally of 2,707 announced deals compared with 3,071 deals worth $117 billion in the same period a year ago.

“We’re seeing a flight to safety,” said Steve Blum, a partner in corporate finance at KPMG. Blum said cross-border mergers declined in emerging markets because “the perceived risks are greater.”