Have cash? Go abroad: India Inc's deal matra for 2012
20.05.12
The investment bankers say that the prevailing view among the large corporate houses remains that the cash could be better utilised for buying assets in overseas markets , given the existing regulatory hurdles and a delayed pace of reforms.
The adverse economic conditions, globally and within the country, did pull down the deal-making activities towards the end of the year, but the overall tally for the year still managed to get decent annual figures.
According to global deal tracking firm Dealogic, the total India-targeted M&A volume stood at USD 43.8 billion in 2011 till December 20, a decline of 31 per cent from USD 63.5 billion in the previous year period.
The trend was much better in the first six months of the year with a total value of USD 28.4 billion -- almost equal to the figure for the first half of 2010 at USD 28.9 billion.
But, there was a slowdown in the second half and the last quarter of 2011 was seen shaping up as be the worst quarter since 2005, Srividya CG - Partner & Practice Leader - Valuations, at consultancy major Grant Thornton India said.
Source: Economic Times