Mergers and acquisitions notified to the Competition Authority nearly doubled in 2004, official figures show.

The data also show the technology sector witnessed a notable acceleration in high-level corporate activity in 2004, having seen just two such deals in the previous year. Across all sectors, 81 mergers were notified to the authority in 2004, compared to 47 in 2003. Nine deals in the technology and telecoms sectors were reported in 2004.

This uptick in deal-making suggests a significant increase in business confidence. Merger activity is seen by analysts as a leading economic indicator.

Mergers considered by the Competition Authority are, by definition, substantial transactions. Only deals where one party has an annual turnover of €40 million or more and operates in the Republic must be notified.

This threshold means that mergers covered by the authority's rules represent just a portion of all corporate activity in the Republic last year.

The exception comes in media mergers, all of which must be notified to the authority, regardless of the size of participants. Nine media deals were notified last year, compared to four in 2003.

Two of these 2004 transactions - UTV's proposed purchase of local radio station LMFM and Independent News & Media's proposed acquisition of a substantial stake in Gabani in India - remain under the authority's consideration. Independent News & Media and UTV were two of eight companies listed on the Irish Stock Exchange to be involved in notifiable deals last year.

DCC was the most active of these as it acquired half of Allied Foods for €14.5 million and all of British wine distributor Bottle Green for up to €37.3 million.

Other listed companies involved in deals last year included Kerry and Glanbia.

One of the largest transactions considered involved the previously listed Clondalkin Group, which was almost completely acquired by Warburg Pincus for €630 million. Another deal - Quinn Group's €84 million takeover of Barlo - saw the exit of a public company from the Irish Stock Exchange, while Grafton's €336 million play for Heiton is likely to see the same result.

The Grafton/Heiton deal was the only transaction last year where the Competition Authority decided to initiate a "phase two" inquiry. This inquiry, which must be completed before February 17th, was launched because the authority needed more time to consider the competition implications of the deal.

Only one transaction - IBM's proposed acquisition of an Irish unit of Schlumberger - was blocked by the Competition Authority last year.