M&A activity with an India angle hit a record $171 billion in 2022

What was the common thread in 2022 that connected some of the biggest Indian companies like HDFC Bank, HDFC, Adani Group, Mindtree, L&T Infotech, Biocon, TCS, Ambuja Cements, Viacom 18 and Bharti Airtel? 

They all were involved in some form of M&A – mergers & acquisitions -- activity that made 2022 a record year as the cumulative value of deals with an Indian angle touched $170.6 billion – more than 38 per cent higher than the previous calendar year – and the number of deals also surged nearly 15 per cent. 

“India involvement announced M&A activity reached an all-time high and stood at $170.6 billion in 2022, up 38.2 per cent from a year ago, making it the highest annual period since records began in 1980. Number of announced deals grew 14.7 per cent year on year and saw the busiest ever annual period,” stated a report by Refinitiv, a subsidiary of London Stock Exchange Group. 

Meanwhile, domestic M&A activity saw record levels of activity and totaled $119.2 billion, up 156.3 per cent from the previous year, added the report while highlighting the fact that HDFC Bank agreed to merge with HDFC in a deal valued at $60.4 billion, making it the largest Indian involvement deal on record.  

While inbound M&A fell 40.5 per cent from a year ago and totaled $38.7 billion, outbound M&A activity reached a four-year high of $9.8 billion, up 31.6 per cent year on year with United States as the most targeted nation with 49.3 per cent market share.  

“This was driven by the $3.3 billion acquisition of United States based Biosimilars Business of Viatris Inc by Biocon Biologics Ltd, making it the largest ever Indian outbound acquisition in U.S. healthcare,” stated the report. 

Interestingly, India investment banking activities generated $989.3 million in 2022, a 16 per cent decline compared to last year, making it the lowest annual period since 2018 when it was pegged at $963.6 million. 

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