The deal values in the first two months of this calendar year has moderated, though the volumes have stayed firm as compared to 2013 and 2012, according to the latest report by Grant Thornton. Across sectors, telecom and e-commerce remained in the limelight for investors, a case in point being Bharti Airtel's acquisition of Loop Mobile, which had also signalled the emerging trend of consolidation in the Indian telecom sector, according to Grant Thornton.

The value of the total mergers and acquisitions (M&A) and private equity (PE) deals in February were at $2.6 billion, as compared to $3.3 billion and $15.5 billion in the corresponding months of 2013 and 2012 respectively. On the other hand, the number of deals stood at 83, as compared to 75 and 95 in the corresponding months of 2013 and 2012 respectively.

Raja Lahiri, Partner, Transaction Advisory Services, Grant Thornton India said: “The deal scenario remained moderate in the first two months of 2014 with 170 deals worth $4.2 billion. Inbound deals witnessed some momentum as a result of Sembcorp’s investment in NCC Power Projects. However, cross-border deal activity remained rather lukewarm.”

“The telecom sector seems to be bouncing back with Bharti Airtel’s acquisition of Loop Mobile, while the e-commerce sector remains attractive for private equity and venture capital as well as international strategic players,” he added.

According to the report, the top M&A deal was Aman Resorts' acquisition of Silverlink Holdings at $358 million which represented 20 per cent of total M&A deal value, while the top PE deal was $183 million investment by Temasek and IDFC Alternatives in GMR Infrastructure, which represented 22 per cent of total PE deal value.

The total M&A and PE deals year-to-date till February were valued at $4.28 billion (170 deals) against $4.5 billion (149 deals) and $17.71 billion (188 deals) in the corresponding months of 2013 and 2012 respectively, noted the report.

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