A familiar position: H1’ 24 M&A trends in travel, leisure, and hospitality

Here are some key trends and insights from the first half of 2024:

• Eco-friendly operators are challenging established companies as hotels rank among the highest-consumption property users of energy, water, and waste.
• M&A activity remained muted due to uncertainty about interest rate cuts and high inflation, resulting in a significant drop in total deal value despite a small increase in volume. TLH deal volume in the hospitality and leisure segment reached 406 deals, pushing overall deal volume for the sector 18 percent higher, while deal value declined 34 percent.
• Travel deal volume and value declined to levels not seen this decade, with the largest deal being American Express Global Business Travel's $600 million acquisition of CWT US.
• Investors are exploring ways to quantify the contribution of sustainability efforts to future investment returns and assess potential risks, as stricter U.S. rules and disclosure requirements gain attention.

As we move forward, the TLH sector must navigate key considerations such as the timing of interest rate easing, the impact of technology, and the gaming segment's multimodal revolution to position itself for success. Download our paper, A familiar position: M&A trends in travel, leisure, and hospitality, to gain insights on M&A in the TLH sector.