Successful deals bring in much-needed capital, foster innovation, creating synergies that can lift whole industries in the country. This is because M&As give businesses an immediate way to enhance their portfolio of products, attain entry into newer markets, and enhance economies of scale
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 US–China trade war, which left many investors in a wait-and-watch mode.
The Assocham Year Ahead Outlook observed that India's M&A transactions witnessed a quantum jump of 170 per cent in valuations and over 70 per cent in the number of transactions in the year gone by on the basis of various estimates.
Reporting under Indian Accounting Standards (Ind AS) may significantly impact tax-planning strategies for many deals and will also have a high impact on key performance indicators of companies, says author Jigar Parikh.
In a discussion on consolidation in banking sector with CNBC-TV18, industry expert AK Purwar said consolidation is key for the industry. "Banks at the helm must flex their muscles and they must acquire their poorer cousins who are not so well managed," Purwar said. Such mergers result in better management of smaller banks, he said.
Speaking to CNBC-TV18, Ramesh said that a few top companies from the renewables space are likely to get listed and will receive a good response from the market.
The year 2015 was itself a record breaking year with deals worth USD 199.6 billion by way of 690 deals.
In an interview with CNBC-TV18, Prashant Mehra, Partner at Grant Thornton said that e-commerce has been the biggest contributor, as it clocked around 20 percent of the deal value for the M&A sector for the month of January.
The Competition Commission of India (CCI) has amended the combination regulations for the fifth time to make it more user friendly, amid concerns expressed in certain quarters about some existing requirements.
M&A seems to be back on the growth path with about USD 4.6 billion across 50 transactions but growth has been coming from cross border activity, while the domestic M&A has been extremely sombre, said rashant Mehra, Partner, Grant Thornton.
Colao said there are some encouraging signs on the regulatory front and the Empowered Group of Ministers' (EGoM) recent decisions were in right direction, which is sending a positive message about the country.
With the Finance Minister, Pranab Mukherjee abandoning the idea of dropping the proposal that would amend ...