The article discusses EY (Ernst & Young) analysis and views on emerging M&A trends in India in recent years. EY's Global Capital Confidence Barometer is a semi-annual survey of more than 1,600 senior executives from large companies around the world, including 93 from India and across industry sectors. According to the article, an official consultant working in EY says, “Despite the dynamic global geopolitical conditions, Indian companies are positive on the domestic business market on the back of a stable economy, positive business market fundamentals and a promising pipeline of agreements". 2017 was quite a significant year due to extensive regulatory uncertainty and the consequences of demonetisation. The largest deal of 2017 in terms of value was the Vodafone Idea deal at $12,668 million. It was also a year of numerous uncompleted M&A deals. Say no to plagiarism. Get a tailor-made essay on "Why Violent Video Games Shouldn't Be Banned"? Get an original essay The first one worth mentioning is the unsuccessful merger proposal between HDFC Life and Max Life. If this deal were to be final, we would have seen the largest private insurance company in India. Furthermore, the much-hyped Flipkart-Snapdeal merger was finally called off in the latter part of 2017. This transaction could have been India's largest-ever acquisition. Zomato-Swiggy merger talks also broke down due to differences over business alignment and valuations. The much publicized RCom-Aircel merger was also cancelled. Legal and regulatory uncertainties and various interference from vested interests have been cited as reasons for the ill-fated merger talks. Unlike 2017, the 2016 financial year set a record in the M&A space, with deals more than doubling the value of deals in the sector. year 2015. Consolidation between sectors and foreign investments has led to this increase. Sectors like telecom, cement and energy contributed the maximum in 2016. Rosneft-Essar Oil acquisition and Vodafone-Idea merger were the most notable M&A deals. The government's focus on reforms coupled with strong capital markets and favorable credit conditions should stimulate investment and encourage companies to dynamically plan their acquisition strategy. Indian respondents prefer domestic market for mergers and acquisitions to exploit growth opportunities. It ranks as the first destination chosen by Indian companies, followed by the United States and the United Kingdom. On the sector front, consumer products, financial and retail services are expected to remain active in the M&A market. The bottom line today is that both strategic and financial investors are very cautious and fully aware of the issues that could lead to M&A fiasco. Possible dangers, if identified early and emphasized by business team advisors, can help owners slow down and make an informed decision. This not only saves costs, but also company teams' time, which can be channeled into researching alternative M&A proposals.
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