VCCEdge Q3 India Deal Update: Private Equity Deal Value Dips 18%, M&A up 56%

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VCCircle

24 Oct, 2013, 14:28 GMT

NEW DELHI, October 24, 2013 /PRNewswire/ --

VCCEdge, the financial research platform of The VCCircle Network, has released its Quarterly Deal Report summarizing the Indian deal environment in the third quarter of CY2013. Spread over 29 pages, the report presents statistics & analysis of Private Equity, M&A, and Public offering deals in India, with a special focus on investment trends evolving across various sectors.

Report Highlights:

Private Equity:

  • Private Equity investments dipped 18% to $2.8 billion in Q3 2013 when compared with the $3.4 billion worth of investments recorded in Q3 2012. Deal volume fell by 8% from 161 deals to 148 deals between the two quarters.
  • Financials, Consumer Discretionary, and Information Technology were the most targeted sectors with investments worth $1.23 billion, $577 million, and $339 million, respectively. Together, the three sectors accounted for nearly 76% of the total private equity capital invested in Q3 2013.
  • The $415 million investment by Blackstone Real Estate Partners in Gurgaon based IT SEZ project of Unitech Corporate Parks was the biggest deal announced during the quarter. This is followed by the $360 million investment in Flipkart Online Services by a clutch of private equity investors, including fresh commitments from existing investors.

Sector breakdown of private equity deals in Q3 2013 -

                                        Deal Value  Avg. Deal Value

                              Volume      ($ mm)        ($ mm)
    Consumer Discretionary      39          577            15
    Consumer Staples             8           80            10
    Energy                       2            4             2
    Financials                  25        1,235            49
    Health Care                 15          134             9
    Industrials                 13          204            16
    Information Technology      40          339             8
    Materials                    5          232            46
    Utilities                    1            7             7
             Total             148        2,812


Mergers & Acquisitions:

  • Mergers & Acquisitions in India in Q3 2013 were recorded at $8.26 billion, spread across 209 deals. Deal value increased by 56% while deal volume went up by 20% when pegged against the $5.3 billion worth of M&A activity from 174 deals recorded during Q3 2012.
  • Materials and Energy sectors witnessed the maximum M&A value with deals worth $3.39 billion and $2.64 billion, respectively. Together, they accounted for 73% of the total M&A deal value during the quarter.
  • The biggest M&A deal seen in Q3 2013 was the acquisition of Rovuma Offshore Area 1 of Anadarko Petroleum Corp. by ONGC Videsh Ltd. for a total consideration of $2.64 billion. Another mega-ticket acquisition witnessed during the quarter was the acquisition of Holcim India Pvt. Ltd. by Ambuja Cements for $2.51 billion in cash and stock.

Sector breakdown of M&A deals in Q3 2013 -

                                           Deal Value  Avg. Deal Value

                                 Volume      ($ mm)        ($ mm)
    Consumer Discretionary         35           185             5
    Consumer Staples               10            69             7
    Energy                          5         2,640           528
    Financials                     29           296            10
    Health Care                    16            24             2
    Industrials                    44           788            18
    Information Technology         32           832            26
    Materials                      24         3,391           141
    Telecommunication Services      3            27             9
    Utilities                      11            14             1
              Total               209         8,268


Report Contents-

    I. EXECUTIVE SUMMARY

    II. Private Equity
    Private Equity Investments
    - Overview
    - Deal Type Analysis
    - Sector Analysis
    - Top 10 Private Equity Investments
    - Regional Analysis
    Private Equity Exits
    - Overview
    - Deal Type Analysis
    - Sector Analysis
    -Top 10 Private Equity Exits
    III. Mergers & Acquisitions
    - Overview
    - Deal Type Analysis
    - Sector Analysis
    - Top 10 Mergers & Acquisitions
    - Regional Analysis
    IV. Public Offerings
    - Overview
    - Top 5 Initial Public Offerings
    - Deal Type Analysis
    V. Sectoral Spotlight

    Publication Date: October 11, 2013

    Format: PDF

    Price: Rs. 2,299/-


About VCCEdge:

VCCEdge is India's leading online research platform targeted at dealmakers. A fully hosted platform with a comprehensive database of VC/PE/M&A deals, IPOs, directories, private and public company information, financials, shareholding structures, professionals & key developments related to companies, VCCEdge has all of them in one place. 

To know more, visit us at http://www.vccedge.com or write to us at sales@vccedge.com

About The VCCircle Network

The VCCircle Network, founded in 2005, is India's leading online financial media and data group. It's owned by Mosaic Media Ventures Pvt Ltd, and is headquartered in New Delhi with presence in Mumbai and Bangalore. The VCCircle Network is relied upon by an influential global community of deal makers, entrepreneurs and professionals for trusted content and information related to Indian investments, M&A, venture capital, private equity, investment banking, public equity, and emerging companies and sectors.  

For more details, please visit http://www.vccircle.com

Media Contacts:

Rashi Sinha: rashi.sinha@vccircle.com (M) +91-9873-4244-41