M&A: deals in Q2 dip 31% in value terms

India Inc. witnessed a significant dip in deal activity in the September quarter over the previous one, with 225 inbound and outbound transactions of over $13.5 billion being recorded.

India Inc. witnessed a significant dip in deal activity in the September quarter over the previous one, with 225 inbound and outbound transactions of over $13.5 billion being recorded.

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By deal values, the size is 31 per cent lower over the April-June quarter even though the total number of deals struck has increased from the April-June 2010 quarter’s 203, consultancy firm Ernst & Young said in a report.

The majority of the deals, 82 per cent, were in the sub-$50 million category due to which the total deal size has not increased even after the number of deals going up, the report said.

A whopping 75 per cent of the transacted value, or $10.1 billion, in Q2 was inbound.