India's outbound M&As outpace inbound deals
Outbound deals have grown from $4.3 billion in 2005 to $9.9 billion in 2006 to $28 billion plus this year so far.
By PTI |
MUMBAI: Indian companies have made 143 acquisitions in foreign countries in the first seven months of the current year for $28 billion, a study by Grant Thornton said on Tuesday.
Outbound deals have grown from $4.3 billion in 2005 to $9.9 billion in 2006 to $28 billion plus this year so far. While inbound deals have grown from $5.1 billion in 2005 to $5.4 billion in 2006 to $14.7 billion in 2007 year to date, the study said.
The 143 acquisitions made by Indian companies abroad was more than double the number of acquisitions made by international companies in India (inbound deals at 62).
The value of outbound acquisitions was almost double the inbound acquisition value. Indian companies are acquiring more and more international business to get a global footprint and to expand their presence globally.
This was the first year where India Inc signed multi- billion dollar deals across the borders, the study said.
The largest proportion of outbound acquisitions was made in Europe which contributed close to 57 per cent of all outbound deal value. The United Kingdom, on its own, contributed to about 48 per cent of all outbound deal value which is far ahead of the US at 29 per cent, which had so far been the most attractive, thanks to the Tata-Corus deal.
Meanwhile, the study said the total number of M&A deals, including cross-border and domestic announced during the first seven months of 2007 stands at 398 with an announced value of $45.03 billion and 230 private equity deals with an announced value of $9.60 billion.
Outbound deals have grown from $4.3 billion in 2005 to $9.9 billion in 2006 to $28 billion plus this year so far. While inbound deals have grown from $5.1 billion in 2005 to $5.4 billion in 2006 to $14.7 billion in 2007 year to date, the study said.
The 143 acquisitions made by Indian companies abroad was more than double the number of acquisitions made by international companies in India (inbound deals at 62).
The value of outbound acquisitions was almost double the inbound acquisition value. Indian companies are acquiring more and more international business to get a global footprint and to expand their presence globally.
This was the first year where India Inc signed multi- billion dollar deals across the borders, the study said.
The largest proportion of outbound acquisitions was made in Europe which contributed close to 57 per cent of all outbound deal value. The United Kingdom, on its own, contributed to about 48 per cent of all outbound deal value which is far ahead of the US at 29 per cent, which had so far been the most attractive, thanks to the Tata-Corus deal.
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Meanwhile, the study said the total number of M&A deals, including cross-border and domestic announced during the first seven months of 2007 stands at 398 with an announced value of $45.03 billion and 230 private equity deals with an announced value of $9.60 billion.
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