Indian, global business on M&A path: Thornton
16 May 2012 6:29 AM GMT
Corporates across the globe are significantly more interested in acquisitions than they were two years ago, and the same is true for India where 37 per cent of business leaders are planning M&As over the next three years, says a survey.
According to Grant Thornton, corporates who have successfully plotted their way through the global downturn are now seeking to invest the cash resources built up over a period of time on M&A activity.
The survey noted that of those companies seeking to expand through acquisition in the next three years, 33 per cent expect to do so through a cross-border transaction, a rise from 28 per cent in 2010.
With recent positive economic data from the US and impressive growth continuing to be experienced in the BRIC region, global economy is undoubtedly entering a new phase.
'...enterprising corporates appreciate that M&A remains a vital strategic tool to enable them to benefit from these trends,’ Grant Thornton International Global Service Line Leader - M&A, Mike Hughes said.
The survey further reveals that the proportion of businesses seeking to grow through M&A, be it overseas or within their own market, has risen steeply over the past two years from 26 per cent in 2010 to 34 per cent in 2012.
'It is encouraging that enterprising corporates in mature markets appreciate that M&A remains a vital strategic tool to enable them to benefit from these trends,” Grant Thornton India Partner Munesh Khanna said.
In case of India, 37 per cent of biz leaders are planning a merger or acquisition over the next three years, while 29 per cent showed real enthusiasm to expand overseas.
According to Grant Thornton, corporates who have successfully plotted their way through the global downturn are now seeking to invest the cash resources built up over a period of time on M&A activity.
The survey noted that of those companies seeking to expand through acquisition in the next three years, 33 per cent expect to do so through a cross-border transaction, a rise from 28 per cent in 2010.
With recent positive economic data from the US and impressive growth continuing to be experienced in the BRIC region, global economy is undoubtedly entering a new phase.
'...enterprising corporates appreciate that M&A remains a vital strategic tool to enable them to benefit from these trends,’ Grant Thornton International Global Service Line Leader - M&A, Mike Hughes said.
The survey further reveals that the proportion of businesses seeking to grow through M&A, be it overseas or within their own market, has risen steeply over the past two years from 26 per cent in 2010 to 34 per cent in 2012.
'It is encouraging that enterprising corporates in mature markets appreciate that M&A remains a vital strategic tool to enable them to benefit from these trends,” Grant Thornton India Partner Munesh Khanna said.
In case of India, 37 per cent of biz leaders are planning a merger or acquisition over the next three years, while 29 per cent showed real enthusiasm to expand overseas.
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