Private Equity Deals

The overall deal activity declined by 3 per cent to USD 5.023 billion in May compared to USD 5.192 billion in the preceding month of April, a report said on Thursday. The merger and acquisitions plummeted 58 per cent to USD 1.05 billion during the month compared to USD 2.526 billion in April, while a 49 per cent increase in the private equity deal values to USD 3.973 billion from April USD 2.666 billion helped the overall number. From a volume perspective, the overall number declined 22 per cent to 137, the report by the consultancy firm Grant Thornton Bharat said. "The election process could have delayed the deal-making scenario. The election results and the ensuing new government's strategic direction will be crucial in shaping the investment climate and determining future deal activity," its partner Shanthi Vijetha said. The largest merger and acquisition deal in May was the USD 350 million investment by Google for a minority stake in Flipkart Online Services, followed by Manipa

Blackstone Inc. will take a majority stake in a payment service provider under Sony Group Corp. for about $280 million, a person familiar with the matter said

Value of such transactions has also been coming down over time

Privileges such as board nominations, veto over share issuances will require to be approved via special resolutions; Could impact fresh investments

Private equity investments in India dropped 61% during the first half of 2023 compared to the same period in 2022, with sum of equity invested amounting to US$6.1 billion.

San Jose-based company to use financing for strengthening verticals and get more customers

Private equity investment in real estate fell 17 per cent this year to USD 5.13 billion as investors turned cautious amid geopolitical and inflationary concerns, according to Knight Frank India. Private equity (PE) investment, in both pure equity and debt form, declined in housing, office and retail segments during 2022, whereas it increased in warehousing assets when compared with last year. As per the Knight Frank data, PE investment in warehousing increased 45 per cent to USD 1,907 million this year from USD 1,313 million last year. In office assets, PE investment dipped 19 per cent to USD 2,331 million this year from USD 2,882 million in 2021. PE inflows were down 50 per cent in the housing segment to USD 594 million in 2022 from USD 1,187 million last year. In retail assets as well, PE investment declined 63 per cent to USD 303 million this year from USD 817 million in 2021. Overall, PE investment has fallen to USD 5,134 million (USD 5.13 billion) this year from USD 6,199 .

The combined entity will now cater to over 1.5 million retail investors with investments to the tune of Rs 1.4 trillion ($20 billion) of assets

The fundraising boom in India by firms, ranging from an e-comm platform to a food delivery apps, comes even as country's economic rebound, already weakened in recent months, faces risk from Covid

Latest data from EY show PE and venture investment in startups doubled in H12021 to $6 bn. With more activity in the market, ancillary businesses like accelerators and incubators also thrived

HDFC Bank ranked number 16 for overall equity deals business last year, and number 29 in 2019, according to Bloomberg.

Global market for such deals has been on the rise since at least 2012; one fund exploring opportunities in India.

Company panel to negotiate and conclude talks with the PE investors; Ernst & Young will be advising on the proposed fund raising exercise

Investor to become single-largest shareholder; Sameer Gehlaut likely to step down as promoter

Private equity exits have witnessed a slowdown

The segment accounts for 81% of PE funds flowing into the real estate sector betwen Jan 1 and Sept 30; residential segments gets 9%

Month has been better than the sub $1 billion monthly run rate seen in the early months of the coronavirus pandemic

Earlier, control deals for KKR included the 60 per cent buyout of Ramky Enviro Engineers for $530 million

The latest transaction is likely to value Byju's at over $5 billion

Secondary deals are driven by the need to create liquidity, so that fund managers can move onto the next fund