- Global play: Many global rivalries are now playing out actively on Indian shores. Global retail biggie Walmart’s interest in Indian e-commerce leader Flipkart—reportedly at a valuation of $18 billion or Rs 1.2 trillion—is driven by its strategy to take the fight with US rival Amazon to big markets worldwide. Similarly, Procter & Gamble buying Merck Ltd for Rs 12.9 billion including brands like Seven Seas, Neurobion and Nasivion is the fallout of the US consumer major’s $4.2 billion global acquisition of Merck’s consumer health business. Horlicks, a household name in India, being hawked by its parent GlaxoSmithKline in India, is part of the sale of its global nutrition business to fund the $13-billion buyout of Novartis’ stake in their global consumer health care joint venture.
- Core, noncore: Bengaluru-based IT major Infosys is unwinding ex-CEO Vishal Sikka-led investments in firms like Panaya and Skava, bought for $200 million and $120 million respectively, as it sees the business as not core to its future. Cross-town rival Wipro too is changing track by selling its hosted data-centre business—a relic from its decade-old acquisition in Infocrossing—to the US-based firm Ensono for $405 million.
- Government-led activity: Air India is on the block as the government wants to offload 76 per cent through open bidding in the loss-making, debt-ridden national carrier. Though many local suitors seem to have backed out, word is that many big global airlines, sovereign wealth funds and private capital may be interested in the airline because of its juicy domestic and international flying rights and airport slots.
- Consolidation: India’s nascent renewable energy space is rife with consolidation. Whilst Hyderabad-based Greenko is looking at buying Singapore-based AT Capital and NRI Arvind Tiku-led Orange Renewable at a valuation of $1 billion, another multi-billion dollar deal in the making is ReNew Power Ventures looking to buy Ostro Energy at a Rs 108 billion valuation. Any of the two deal materalising will change the pecking order in the industry currently led by Tata Power Renewable Energy.
- PE-led action: Private equity players invested $25 billion, a record last year, and the exits were at an all-time high of $13 billion, according to a report by consultant EY. Domestic deals went up from 528 to 682 in 2017, and looks like it will strengthen this year. Kedaara Capital-Partners Group is looking at picking retailer Vishal Mega Mart from its current owner, TPG-Shriram Group, for Rs 50-53 billion, and Apax Partners, the country’s largest medical consumables and surgical suture firm Healthium Medtech, for Rs 19.50 billion.
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