India Inc signs 1,149 deals worth over $104 bn in 2022 first half

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These figures represent a significant 34 percent increase in the overall volume of agreement, while the agreement value is more than doubled (with an increase of 143 percent) from the same period last year, according to the Thornton Bharat grant report.

Encouraged by HDFC Bank and Merger Merger, LTI and Mindtree HDFC Ltd ($ 17.7 billion) and Adani Group-Holcim Ltd from $ 10.5 billion, the value of the M&A agreement recorded more than double the H1 2021.

These three transactions themselves contributed 86 percent of the total value of the M&A agreement at H1 2022.

In the midst of macroeconomic pressure, the overall agreement sentiment for 2022 is expected to continue to provide support from the government about infrastructure expenditure, the supply side response and the main fiscal steps,” said Shanthi Vijetha, Mitra, Growth, Grant Thornton Bharat.

However, corporations and more importantly PE/VC can use an optimistic approach that is careful because the impact of the global economic slowdown on the Indian economy is clear,” Vijetha added.

While the activity of the private equity agreement continues to dominate the volume of total agreement with the share of 3/4, the value of the agreement is driven by a merger and acquisition with 76 percent of the total agreement in H1 2022.

Startup, e-commerce and IT sector lead the agreement activity at H1 2022, pushing 76 percent of all agreements followed by the retail, education and pharmacy sectors.

The M&A room witnessed a significant increase in the first round, witnessed 284 agreements while representing 27 percent growth during H1 2021.

The banking and financial sector has the highest contribution of 53 percent in terms of the overall agreement in H1 2022, followed by the sector and manufacturing.

Investment in equity and private venture capital see the volume and record value in the first six months with 865 offers at $ 25.1 billion.

However, there was a decrease in 12 percent and 15 percent in investment volume and value of more than H2 2021 (six months before), the report recorded.

The impairment of the agreement is caused by a decrease in large ticket investment coupled with the applicable factors including geopolitical tension, stock market volatility, concerns about rising commodity prices and inflation impacts,” the report said.

However, large funds such as Tiger Global, Westbridge, Baring PE, TPG, Brookfield, Blackstone and Warburg Pincus, among others, continue to compensate for their activities.