Deals galore: India's biggest PE and M&A deals in the third quarter of 2024

The third quarter of 2024 saw a significant increase in deal activity, with 618 transactions valued at US$ 29.6 billion, according to data analysed by Grant Thornton India. This represents the highest quarterly deal volume since the first quarter of 2022, driven by heightened M&A activity, sustained private equity (PE) deals, record Qualified Institutional Placement (QIP) transactions, and a robust IPO market. M&A activity reached record highs, with 214 deals valued at US$ 11.4 billion, predominantly composed of domestic transactions, which accounted for 154 deals worth US$ 5.7 billion. Notably, cross-border activity experienced a 67% increase compared to the previous quarter. The M&A value was bolstered by 2 billion-dollar transactions totalling US$ 5.6 billion and 17 high-value deals exceeding US$ 100 million, contributing nearly 84% of total M&A values. The PE sector remained strong, recording 337 deals valued at US$ 7.6 billion. 3 companies—Rapido, Ather Energy, and Moneyview—achieved unicorn status during this quarter, significantly benefiting the automotive and finance sectors.

In addition, in the third quarter of 2024, they marked the highest IPO volumes of the year, with 3 substantial IPO listings exceeding US$ 500 million, all of which were oversubscribed and listed with positive gains. QIP activity reached an all-time high, solidifying its position as the preferred fundraising method for listed companies. Vishal Agarwal, Partner at Grant Thornton Bharat, stated, "Third quarter deal-making activity demonstrated a rising trend over the last 2 years, with higher volumes and values. While stability prevails, M&A deals showcased consolidation through internal reorganizations and portfolio sales. Private equity investors remain cautious, yet credit-based lending businesses continue to attract capital." M&A activity showed stable growth in the third quarter of 2024, with 18 deals valued at US$ 1.4 billion, representing a 20% increase in volume and a 58% increase in value from the second quarter of 2024. Domestic transactions dominated, accounting for 89% of total volume and 97% of total value, with an average deal size of US$ 83 million. The fintech sector significantly contributed to this growth, making up 50% of deal volumes.

Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.