Value of Indian M038;As falls to 2.5 bn

The value of Mamp;A deals involving Indian companies stood at USD 16.59 billion in the first three months of 2012.

As per mergermarket,2012 second quarter also represents the second-worst Mamp;A performance in India in terms of deal value since the third quarter of 2008.

8220;More significantly,the number of deals shrank from 136 in the first half of 2011 to 121 in the first half of this year8230;,8221; it noted.

According to mergermarket,all these figures underscore the 8220;increasingly uncertain deal-making climate prevailing in India at the moment8221;.

Among other criteria,mergermarket said the figures are based on announced transactions that were over USD 5 million. Transactions with undisclosed deal values have been included where the target8217;s turnover exceeds USD 10 million. The report noted that cross-border Mamp;A remained disappointing since there were only USD 5.3 billion worth inbound deals in the first half of 2012.

8220;Outbound activity stood at USD 1.96 billion,also the worst total since the first half of 2009 which saw a paltry USD 0.79 billion of acquisitions by Indian bidders overseas,8221; it added.

Going by the report,energy,mining amp; utilities commanded 55.3 per cent of total Mamp;A value in the 2012 first half,almost entirely due to the restructuring of Vedanta Resources. The merger of Sesa Goa and Sterlite,part of Vedanta group,was worth about USD 10.2 billion.

8220;The sheer size of the Sesa Goa-Sterlite merger,which represented 53.7 per cent of all Mamp;A value in the first half of 2012,meant that it was crucial in determining the rankings of financial and legal advisers.

8220;Morgan Stanley retained top spot in the financial adviser league tables with seven deals worth USD 12.1 billion. Ernst amp; Young topped the financial advisers rankings in terms of volume,having advised on nine transactions this year,8221; mergermarket said.