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M&A activity in slow lane, deal value down 43%

Mergers and acquisitions (M&As) in India have moved into the slow lane, dropping 43 per cent in terms of deal value to touch $13.37 billion since January this year to date, compared to the same period in the last year. According to data sourced from Bloomberg, Indian companies reported deal value worth $23.5 billion between January and March 22, 2023. Data Infrastructure Trust s acquisition of American Tower Corporation s India telecom towers business for $2.5 billion was the top deal for the ongoing quarter so far, followed by the Highway Infrastructure Trust s acquisition of PNC Infratech s road projects for $1.08 billion.

Debt, 5G payouts may further squeeze Vi s financials

Accordingly, IIFL has cautioned that Indus receipts from Vi could fall short unless there is significant fundraising at the telecom operator. On Monday, shares of Indus closed 1.12% lower at ₹172.05 on BSE, while Vi ended 0.12% higher at ₹8.34. At its fiscal first-quarter earnings call last week, Indus top management said the tower company was in constant dialogue with Vi, urging the key customer to clear its past dues estimated at ₹9,500 crore.

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