India's Mergers & Acquisitions Surge By 12.13 Pct in First Half Of 2013
Consumer Staples Captured 28.2 Pct of Market Activity
The major portion of the acquisitions were occupied by the Consumer Staples involving Indian companies with 28.2 percent market share worth $5.7 billion, whereas last year for the same period it was accounted for 435.2 percent. The consumer sector observed its best ever semi-annual level after UK-based Unilever PLC’s outstanding tender offer to mount its interest in Hindustan Unilever by obtaining a 22.52 percent stake for a sum of 292.202 billion ($5.4 billion). On records this is the biggest ever deal in Consumer Staples that involves Indian companies.
Private Equity-involved M&A Dropped Lowest since 2004
The financial sponsor baked merger and acquisitions aiming Indian companies summed $834.5 million, a 49.0 percent low compared to the first half of previous year and observed the most sluggish start since 2004 when volume fell to $661.1 million. With $350.2 million the materials sector accounted for 42.0 percent of private equity-backed M&A operations in India. Compared to previous year, this was a 14 fold surge as the number of private equity-backed M&A deals in the sector increased five-times this year over last year’s first half period.