As the world economy recovers, what is becoming clear is that developed Western economies and developing economies are on two markedly different trajectories. While the US and Europe struggle to cope with a slow and jobless recovery, the developing economies have powered ahead with high single and even double-digit growth. It is therefore no surprise that M&A activities have shifted in favour of the developing economies.
India’s M&A activities rose across the board, with outbound making the biggest contribution primarily due to Bharti Airtel Ltd’s USD10.7 billion acquisition of Zain Africa BV during the first half of 2010. Cairn India Ltd is included in both top domestic and top inbound deals as Sesa Goa Ltd acquired a 20% stake for USD2.9 billion and Vedanta Resources PLC of the UK acquired another 40% stake for USD6.6 billion. Major deals in India were in the industrials, materials and financials industries.