India’s M&A deal value down 27% YoY in 2023, manufacturing sector to help drive M&A growth in 2024, says Deloitte

India’s M&A landscape stood resilient in 2023 and the momentum is expected to remain steady in 2024.

M&A deal value in India was $136 billion in 2023, down 27 % from $186 billion in 2022.

This contraction was 4% , excluding the outliers, the 2022 HDFC and 2023 Jio deals.

This was broadly in line with a global M&A decline of 27% , the report stated.

The deal volume fell by 16% despite these challenges, India’s deals market is expected to remain steady.

This is supported by the IMF raising India’s GDP growth forecast to 6.3 % for 2023 .

India’s PE deal value to decline by 20% YoY, and global PE deal value to decline by 40%.

Mid-market deals with a value of $100 million to $1 billion, increased from 20% in 2022 to 35% in 2023.

Amongst mid-market deals, the FS sector saw the highest increase in deal value of 192%.

The Financial Services sector witnessed a 45% YoY decline in deal value in 2023 and rise in deal volume by 23%.

The Technology, Media & Telecom sector encountered a 33% YoY reduction in deal value and a 34% reduction in deal volume in 2023.

The Energy sector saw a 63% YoY increase in deal value in 2023, and decrease in deal volume by 27%.

The Construction & Transport sector witnessed a 44% YoY decline in deal value in 2022 and decrease in deal volume by 15%.

The Medical & Pharma sector witnessed a 17% YoY fall in deal value and a 5% fall in deal volume in 2023.

The Industrial & Manufacturing sector witnessed a 33% and 22% YoY rise in deal value and volume, respectively, in 2023.