Adani Group Leads Domestic Consolidations Worth $2 Billion

In April, India witnessed a flurry of deal-making activities, with the Adani Group spearheading major domestic consolidations valued at a staggering $2 billion, accounting for 38 percent of the total deal values.

According to a report released on Monday by Grant Thornton, this surge in deal-making activity reflects a 21 percent increase in volumes, with 191 deals worth $9.4 billion recorded for the month.

However, this represented a 37 percent decrease in values compared to the previous month.

‘Bharat Dealtracker’

The report, titled ‘Bharat Dealtracker’, highlighted 12 high-value deals exceeding $100 million, totaling $3.8 billion.

Shanthi Vijetha, Partner-Growth at Grant Thornton Bharat, expressed optimism about the deal outlook. He attributed it to a thriving ecosystem across technology, consumer, and infrastructure sectors, bolstered by forward-thinking government policies aimed at comprehensive growth.

Among the notable acquisitions by the Adani Group, Adani Ports and Special Economic Zone Ltd (APSEZ) acquired a 56 percent stake in SP Group and 39 percent in Orissa Stevedores Limited (OSL) in Gopalpur Port Limited (GPL) for Rs 3,080 crore.

This move significantly bolsters Adani Ports’ logistical capabilities, crucial for meeting India’s burgeoning international trade demands.

Furthermore, Ambuja Cements, a building material company under the Adani Group, announced its acquisition of My Home Group’s 1.5 MTPA cement grinding unit in Tuticorin, Tamil Nadu, for Rs 413.75 crore.

The report underlined these strategic acquisitions valued at $2 billion as indicative of a trend towards strengthening core industries.

In particular, the manufacturing sector witnessed significant consolidation efforts, led by Adani Group’s acquisitions in the cement industry.

These endeavors aimed at enhancing production capacities and market reach, reflecting a concerted effort towards industry consolidation and growth.

Additionally, the capital markets witnessed vibrant activity, with four IPOs raising $2.8 billion and 11 QIPs securing $1.4 billion last month, as highlighted in the report.

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