LONDON: Takeovers of British companies hit a 14-year high by value in the first seven months of 2021, Refinitiv data shows, with no sign the buying spree is slowing after US companies targeted a leading supermarket and defence groups.

The total value of UK deals in the seven months was $198 billion, a more than threefold increase on the same period last year, which included the onset of the COVID-19 pandemic.

Deals involving a British target totalled $34.9 billion in July, 5% less than June but more than seven times the value in July 2020.

The increase has coincided with the British economy's faster than expected rebound from the coronavirus crisis and reduced Brexit uncertainty since leaving the European Union.

British companies have been relatively cheap compared with U.S rivals when measured on a price-to-earnings ratio, with the FTSE 100 trading at 15.6 against 26.9 for the S&P 500, Refinitiv data shows. The FTSE 250 index of mid-cap companies is trading at 9.9 times.

One of those FTSE 250 constituents could be about to leave after defence and aerospace company Meggitt agreed to a 6.3 billion pound ($8.77 billion) takeover by US rival Parker-Hannifin on Monday.

Britain's fourth-largest supermarket group Morrisons has also agreed to be bought for the same price by the Softbank-owned Fortress group and could yet receive a counter-bid from CD&R.