Territories expected to show high activity are the Netherlands, UK and Sweden; BRIC nations China/Hong Kong and India; and emerging markets Mexico, Egypt and Vietnam. Tim Gee, Baker & McKenzie's global head of M&A, said: 'Many US and European companies have accumulated large cash balances available for acquiring new businesses. Financial sponsors also have the potential to boost global transactions, with private equity firms sitting on a record US$1.1 trillion in uninvested capital. Cross-border transactions will play a significant role as companies look to gain market presence in high growth markets.'