India beat China in overseas M&A deal growth

India beat China in overseas M&A deal growth

New Delhi: Indian companies have surpassed their Chinese counterparts in making cross border merger and acquisitions with a 126% annual growth, while the Asia Pacific region registers a 36% rise in overseas M&As, says a report.

So far this year, India has recorded a 126% jump in the amount spent on M&A deals outside the Asia Pacific region, compared to the previous year’s figure. However, China posed a 82% growth during the period.

“China and India are the second and third most acquisitive nations, with $17.3 billion and $16.1 billion respectively spent on cross region outbound merger and acquisitions," according to global financial data provider Dealogic.

As per the analysis, Australia was the most acquisitive nation with $38.2 billion spent on 217 deals outside the region. The largest deal was made by Centro Properties Group to acquire US-based New Plan Excel Realty Trust for $5 billion.

Companies in the Asia Pacific region have invested $104.3 billion through 622 deals outside the region so far this year, which is 36% higher than the same period last year.

This is the highest year-to-date figure on record, Dealogic said, adding that around 27 deals each valued over one billion dollars were announced so far this year, compared to 18 deals a year ago.

Dealogic said the US was the most targeted nation by companies in the Asia Pacific, with spending of $42.7 million through 207 deals. Out of the US-specific M&As this year, the Asia Pacific region accounted for nearly 3%.

Britain stood second on the target list of firms in Asia Pacific. The UK witnessed M&A volume of $31.9 billion coming from this region through 81 deals, representing 10% of the total inbound acquisitions in that country.

“The Asia Pacific cross region outbound M&A revenue aggregated to $818 million so far this year," Dealogic said.

Canada, Germany and France were other target nations. Canada saw a deal value of $11.4 billion coming in from the region while for Germany it was $2.9 billion . France witnessed a deal value of $1.7 billion.

In terms of number, Canada had 35 deals, Germany 34 and France 13.

M&As that were taken into consideration include deals made mainly by companies in Australia, China, India and Japan.