Indian companies remain an attractive proposition for foreign investors but the domestic industry is less adventurous in scouting for overseas assets, according to a Thomson Reuters’ report on M&A activity.
Dealmakers snooze
The report states mergers and acquisitions (M&A) have declined nearly 25 percent in the first six months (January to June 2015). This is the lowest level seen since 2009.
With the value of deals dropping nearly 43 percent compared to last year, the domestic picture does not look attractive as it is the lowest level since 2013.
Playing it safe
Outbound deals have seen a sharp decline of over 43 percent while inbound deals have risen by over 23 percent shows how less adventurous India Inc is.
However, there is no dearth of activity in the private equity space as they have risen by a whopping 67 percent. This is the highest in four years with the technology sector accounting for more than one-fourth of the total market share.
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