New Delhi: Merger and acquisition (M&A) and private equity (PE) deal values witnessed 79 pc drop in April despite easing of Indo-Pakistan tensions, strengthening of rupee against dollar and encouraging domestic sentiment on the back of easing inflation, says a report.
M&A and PE deal value was at USD 4,579 million (about Rs 31,950 crore) in April 2019 against USD 21,766 million in the same month last year, as per a report by Grant Thornton.
The report further said despite this, PE investors did not fail to impress with increased investment activity recording one billion-dollar investment and nine investments valued over USD 100 million each.
Total M&A value in April was USD 735 million against USD 19,142 million in the same month a year ago.
April saw 46 per cent increase in deal values in private equity, while volumes remained muted, according to the findings by Grant Thornton’s Monthly PE Dealtracker.
“Despite easing of Indo-Pakistan tensions, strengthening of rupee against dollar and encouraging domestic sentiment on the back of easing inflation and, as a result, giving rise to expectation of lower interest rates, April 2019 witnessed 79 per cent drop in the M&A and PE deal values,” the report noted.The deal value for private equity was at USD 3,844 million in April this year.