India’s Deal Landscape in October 2024
In October 2024, India’s deal landscape showed resilience with 204 transactions valued at USD 11.7 billion, as reported by Grant Thornton Bharat Dealtracker. Despite a 6% decline in deal volume, there was a 2% increase in transaction value from September, driven by strong merger and acquisition (M&A) activity and stable private equity (PE) investments.
Key Sectors and M&A Activity
Shanthi Vijetha, Partner at Grant Thornton Bharat, noted significant interest in sectors like Retail, Pharma, and IT. October saw 79 M&A transactions, a 5% decline in volume but a 75% increase in value to USD 3.5 billion. Major deals included Ambuja Cement’s USD 976 million acquisition of a 47% stake in Orient Cement and the USD 964 million merger of SeQuent Scientific with Viyash Life Sciences, accounting for 55% of the month’s M&A value.
Private Equity and Capital Markets
India’s PE activity saw a 7% decline in volume with 104 deals valued at USD 1.4 billion, a 51% drop in value from September. Despite this, Retail, Pharma, and IT sectors remained attractive to investors. The IPO and QIP markets were vibrant, with seven IPOs raising USD 4 billion and 14 QIPs generating USD 2.7 billion. Hyundai Motor’s USD 3.4 billion IPO was a major highlight, marking the largest Indian automaker listing since Maruti.
Doubts Revealed
M&A -: M&A stands for Mergers and Acquisitions. It is when two companies combine to form one or when one company buys another.
IPO -: IPO stands for Initial Public Offering. It is when a company sells its shares to the public for the first time to raise money.
QIP -: QIP stands for Qualified Institutional Placement. It is a way for companies to raise money by selling shares to institutional investors like banks or mutual funds.
Ambuja Cement -: Ambuja Cement is a well-known company in India that makes cement, which is used for building houses and other structures.
SeQuent Scientific -: SeQuent Scientific is an Indian company that works in the pharmaceutical sector, making medicines and health products.
Private equity -: Private equity is when investors put money into private companies, which are not listed on the stock market, to help them grow.
Hyundai Motor -: Hyundai Motor is a big car company from South Korea that makes cars and sells them all over the world, including in India.
