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M&A deal value drops 96% to over Rs5,100 crore million in April

  • In April 2019, there were only 3 transactions worth over $100 million as compared to 8 deals including one worth over $7 billion in March
  • According to a report by Grant Thornton, in April last year, the total M&A deal value stood at $19,142 million

New Delhi: The value of merger and acquisition deals announced in April stood at $ 735 million (over 5,100 crore), a decline of 96% from the year-ago period, as per a report.

According to a report by consultancy Grant Thornton, in April last year, the total M&A deal value stood at $19,142 million.

The report said the total number of deals announced last month stood at 35. Of this, two were billion-dollar deals, while 18 were valued at or above $100 million, together contributing 91% of total M&A deal value. When compared to March 2019, M&A transactions value plummeted 92% despite a 17% increase in the deal volumes.

"Absence of large ticket merger transactions and/or non-closure of IBC transactions impacted the overall M&A transaction values," Grant Thornton India LLP Director Pankaj Chopda said.

In April this year, there were only three transactions worth over $100 million as compared to eight such deals including one worth over $7 billion in March, the report said.

Further, both domestic and cross-border transactions took a back seat in April when compared to the same period last year as only 35 deals aggregating to $0.7 billion were announced, the report added.

Of the total M&A value, 43% was contributed by retail and consumer sector led by Amazon’s strategic stake acquisition in Witzig Advisory Services in order to acquire Aditya Birla Group's More and compliance with the latest FDI norms on e-commerce.

This was followed by deals in IT-solutions and data analytics, IT, pharma and e-commerce sectors, among others.


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