India's M&A landscape to see positive trends, says EY

Tags: M&A, News
The value of M&As involving Indian companies, climbed to $ 22.6 billion in last fiscal and the deal-making landscape is expected to positive trends in the coming months, says consultancy EY.

A stable government as well as the new companies law, that provides for a more transparent environment for carrying out deals, are also anticipated to positively impact merger and acquisition activities, EY said in a report.

According to the report, Indian M&A market registered an aggregate disclosed deal value of $ 22.6 billion in FY 14. The amount is 12% higher than $ 20.1 billion registered in the previous fiscal.

"The number of M&A transactions involving Indian companies was relatively muted in FY 14, which stood at 674, down by 20% against 843 deals seen in FY 13," it said.

There were as many as 293 cross-border transactions with an aggregate disclosed deal value of $ 17.8 billion.

"India's deal landscape is expected to be positively influenced by a stable government, boosting confidence among domestic as well as global participants, who are now pinning hopes on the government's focus to improve infrastructure and revive economic growth.

"This will act a major driver for the country's M&A activity in the coming year," the report said.

Further, the new Companies Act provides for a smoother and more transparent environment for conducting M&A deals.

Noting that last fiscal year was an encouraging year for the global business environment, EY's Amit Khandelwal said a similar sentiment was witnessed across the Indian M&A market.

"The country continues to be a major attraction for global players, as evinced by their continuing interest in the country's growth story.

"We remain optimistic about the M&A outlook as it continues to stabilise over the next year," Khandelwal, who is National Director and Partner, Transaction Advisory Services, at EY said.

Post new comment

E-mail ID will not be published
CAPTCHA
This question is for testing whether you are a human visitor and to prevent automated spam submissions.

EDITORIAL OF THE DAY

  • The world is moving away from fast food like never before

    Despite spending $1.8 billion every year on worldwide advertising and promotion, McDonald’s sales are plummeting.

FC NEWSLETTER

Stay informed on our latest news!

INTERVIEWS

GV Nageswara Rao

MD & CEO, IDBI Federal Life

Timothy Moe

Goldman Sachs

Chander Mohan Sethi

CMD, Reckitt Benckiser India

COLUMNIST

Urs Schoettli

It’s time for Japan to step out of its shell

The execution of a Japanese hostage by ISIS has sho­cked ...

Zehra Naqvi

The urge to tell stories

One wants to tell a story, like Scheherzade, in order ...

Bubbles Sabharwal

Truth about truth

The question to ponder is, “is it the truth because ...

INTERVIEWS

William D. Green

Chairman & CEO, Accenture