Merger and acquisition deals by private equity investors in the country have soared to a record 2.1 billion dollars so far this year, making India the most targeted nation for such agreements in Asia, says a report.
Private equity mergers and acquisition volumes targeted towards India have grown to 2.1 billion dollars through 52 deals in 2008 so far compared to 893 million dollars in the year-ago period, according to global financial data provider Dealogic.
“India is the most targeted nation in Asia (excluding Japan) for financial sponsor M&A buyouts in 2008 year-to-date, accounting for 36 per cent of the buyouts in the region, followed by China (28 per cent) and South Korea (21 per cent),” the report stated.
Buyouts by private equity investors this year account for 15 per cent of the total M&A deals in the country. This has increased four per cent from the same period last year.
The most significant PE deal in the country has been the 324 million dollar buyout of 14 per cent stake in Akruti City by Citi Venture Capital International and American International Group this year.
PE investments constitute eight per cent of the total global M&A volumes, while they account for six per cent of the deals in the US so far this year.
The average size of the PE deals in 2008 so far has been 49 million dollars, against 27 million dollars last year.
Source: The Hindu