M&As by China in countries part of BRI soar, despite capital crack down
The Dollar Business Bureau Mergers and acquisitions (M&As) by Chinese firms in nations which are part of the Belt and Road Initiative (BRI) are rising, even as the Government cracks down on acquisitive conglomerates of China to limit capital outflows. The acquisitions by Chinese firms in 68 countries that are officially linked to the foreign policy of President Xi Jinping totaled around $33 billion till August 14, exceeding the $31 billion total count for the entire 2016, as per the data by Reuters. The BRI project, unveiled in 2013, is aimed at creating a modern-day ‘Silk Road’, which connect China by sea and land to Pakistan, Southeast Asia and Central Asia, and further to the Europe, Africa and Middle East. President Xi has ...
Anil Agarwal purchases $2.44 bn share in Anglo American
The Dollar Business Bureau Vedanta Resources Plc chairman Anil Agarwal on Thursday announced he is planning to buy a $2.4 billion of Anglo American Plc shares after Vedanta’s merger proposal failed last year. Vedanta’s holding company Volcan Investments Ltd. will issue a mandatory exchangeable bond to fund and Anglo American shares will be used to secure this purchase. According to the investor’s statement, Agarwal doesn’t intend to make a takeover offer for the company, it said. Following the completion of this purchase, Vedanta would become Anglo’s second-largest shareholder next only to South Africa’s Public Investment Corp. “It gives him an extremely good seat at the table if there is going to be any corporate activity. We expect that M&A is going to be the ...
Vodafone-Idea merger deal to conclude in Feb 2017
The Dollar Business Bureau Vodafone and Idea, the second and third largest telecom players in the Indian market after Airtel, have decided to combat intense competition from newcomer Reliance Jio, by merging their Indian business segment. The Birla enterprise and the British telecom giant are said to finalise a merger deal by February 2017, making the combined entity the largest telecom company in India. Vodafone has entrusted Marten Pieters, its former Chief for Indian market, with the responsibility of this ground breaking merger. The consolidation will result into a new firm that will hold a lion's share of Telecom industry's revenue. Projections estimate 40% revenue share and 380 million subscriber base for the consolidated enterprise. India Ratings and Research, a rating agency predicts a revenue of Rs.77,500-80,000 crore for the merged company. There are concerns ...
Indian corporates sign $52 bn M&As in 2016; 2017 looks promising too
The Dollar Business Bureau The current year is abuzz with deal activities with mergers and acquisitions (M&A) worth more than $52 billion and the numbers may get even larger in the new year with increasing interest of foreign investors in the Indian businesses. Industry experts said 2016 saw an increase in deal value mainly led by big transactions and consolidation in several sectors while adding that the same trends may get carried into 2017. The new year looks quite promising with regards to domestic, outbound as well as inbound deals.But it is also dependant on the macro-economic reforms and trends in sectors such as infrastructure, power, that the government improves. According to the consultancy major Ernst & Young (EY), the overall quantum of a ...
British IT firm merges with Indian software firm
Source: PTI British IT and software firm RSK Business Solutions has merged with its Indian partner BSL Information Technology to jointly deliver consultancy services in different parts of the world. England-headquartered RSK Business Solutions Limited (RSK BSL) merged with its Gurgaon-based Indian partner BSL Information Technology Private Limited (BSLi) to create UK-registered RSK Business Solutions Holdings Limited. The merger will enable both entities to jointly expand services to new regions and markets, the firms said on Monday. "The merger will enable us to provide a wider range of services to new and existing clients while maintaining the high levels of customer service and the high quality of output to which our clients have become accustomed," Managing Director of the ...
Alivira to acquire 60% stake in Karizoo Group
The Dollar Business Bureau SeQuent Scientific Ltd on Monday announced that its subsidiary Alivira Animal Health Ltd is planning to acquire 60 percent stake in Spain’s Karizoo Group. The company, however, didn’t disclose the transaction amount. “Alivira Animal Health Ltd would buy 60 percent share in the family-owned Vila Vina Particpacions (VVP), which owns Karizoo Spain, Covivet Spain, Phytosolutions Spain, and Karizoo Mexico,” SeQuent said in a statement. The remaining 40 percent stake will continue to be held by its existing promoters. The acquisition will be done through Alivira Ireland, a fully-owned arm of the company. With this latest acquisition, Alivira will become a major player in the global animal health space, with annual revenues above $120 million. Manish Gupta, Managing Director of Alivira said, ...
Sterlite Tech completes demerger of power business
The Dollar Business Bureau Sterlite Technologies Ltd has completed the demerger of its power transmission business into Sterlite Power Transmission Ltd. The demerger was already approved by the Mumbai High Court on April 22, 2016. The demerger of power business will provide better opportunity for the company to focus on its telecom business, stated a media release by the company. Sterlite Tech also completed the merger of Elitecore Technologies, a solution provider of Operation Support Service (OSS) and Business Support Service (BSS). According to the company, Elitecore has the capacity to monetise all IP networks that include Cable, 3G/LTE, Wi-Fi, ADSL, FTTH. Sterlite acquired Elitecore in 2015. The merger will now allow strengthening of customer offerings as a single telecom company. Sterlite is ...
Foreign firms reposing greater faith in India: ASSOCHAM
Dollar Business Bureau Indian companies finding better opportunities at home turf, says study Visible improvement in business confidence led to a 32% jump in the value of Mergers and Acquisitions (M&As) executed by foreign companies in India to $11.48 billion in 2014, while the year witnessed a sharp drop in the domestic firms scouting for M&As abroad, a report by the Associated Chambers of Commerce & Industry of India (ASSOCHAM) noted. The total value of inbound deals have increased by 32% to $11.48 billion in 2014 from $8.7 billion in 2013. However, outbound deals dropped by 38% in 2014 to $ 5.7 billion (111 deals) on account of good opportunities available in India, said ASSOCHAM. “The liberalised policies including the ...
