M&A Activity

Outbound M&A activity increased 31.6% year-on-year to hit $9.8 billion

This year India Inc clinched its highest-ever mergers and acquisitions, beating the previous record of 2021. What were the factors that led to this year's stellar numbers? How will 2023 play out?

According to Grant Thornton Bharat's Dealtracker September 2022 report, a total of 450 deals worth $10.2 billion were recorded in Q3FY23, 25 per cent below the 600 deals recorded in Q3FY22

Vinod Bahety, who's been helming Adani Enterprises Ltd.'s M&A activity, will move to a new business vertical and a formal announcement could come as soon as this month

The second half of 2022 will see further consolidation as established start-ups look for M&A opportunities at attractive valuation to increase market share

Morgan Stanley earned $258 mn in revenue from its equity underwriting business, down sharply from $1.5 bn a year ago, when it generated handsome fees from a spate of high-profile IPOs

The pipeline of potential acquisitions is expected to contribute up to 30 per cent of its online arm's top line and EBITDA in the next five years, the company said

Related party transactions' rules tightened to prevent abuse; startup founders get more leeway to retain control

When compared with the second half of 2020, the $40.7 billion investments were a mere 2 per cent increase

The funding will be used by Tessolve, a Hero Electronix venture, to drive further growth through acquisitions and organic investments

It is the Japanese electronics firm's biggest acquisition since 2011

Cross-border deal volumes fell 19 per cent compared with the previous year but the deal values jumped two times over 2019 to $21 billion

Privatisation-bound Bharat Petroleum Corporation Ltd (BPCL) on Wednesday said it will buyout Oman Oil Company's shares in the Bina refinery project for about Rs 2,400 crore. BPCL holds a 63.68 per cent stake in Bharat Oman Refineries Ltd (BORL), which built and operates a 7.8 million tonne oil refinery at Bina in Madhya Pradesh. In a stock exchange filing, BPCL said it has "finalised commercial terms in connection with the purchase of the 88.86 crore equity shares of Bharat Oman Refineries Limited (BORL), constituting 36.62 per cent of the equity share capital from OQ S.A.0.C. (formerly known as Oman Oil Company S.A.0.C.) for a consideration of approx Rs 2,399.26 crore". The transaction, it said, is subject to the execution of the relevant transaction documentation and other conditions agreed upon among the parties. "Upon completion, BPCL will hold 100 per cent of the equity share capital in BORL," it said. On Tuesday, BPCL Director (Finance) N Vijayagopal had said that discussion

After all, this weekend's flurry of deal activity shows that not even the coronavirus can stifle M&A demand for long

As capital allocation is altered, dividend payout to dip in the ongoing financial year

Thanks to investments in Jio, India accounts for more than 12 per cent of announced deals in the Asia Pacific region so far this year, the highest ratio since at least 1998.

Travel restrictions and other clampdown measures make time-critical deal-making a challenge, leading to legal and regulatory complications, say experts.

Merger and acquisitions seem to have become a big casualty of corporates' debt distress as India Inc learnt it hard way in 2019 that their first priority was to meet their loan repayment obligations and suitors from abroad also seemed reluctant in wooing distressed targets for any matchmaking. This has led to a mostly muted scene on India's corporate deal street this year, after a blockbuster 2018, while economic slowdown fears further came in the way for any significant merger and acquisition deals. But, experts are hopeful that the scenario might change in the new year, provided the economy rebounds from its lows. The domestic deal-making activities were also hit by weak corporate governance and a huge liquidity crunch in 2019, while the global deals were also hard to come by due to various factors including uncertainties caused by the USChina trade war, which left many investors in a wait-and-watch mode. According to leading law firm Baker McKenzie, the total M&A tally for ...

M&A activity in October 2019 witnessed a decline compared to same month last year primarily due to low activity in the domestic deal trends

India M&A is expected to remain stable in the next few years