The underlying amount in the deals increased 2.8 per cent to USD 5.2 billion during Q1, 2014 but declined 27.4 per cent compared to the October-December quarter, according to the data company Thomson Reuters.
Going by the number of deals, M&As declined 29.5 per cent to 232 from 329 in the year-ago period, it said. As a result, the average size of a deal jumped to USD 56.3 million from USD 34 million as more deals of over USD 500 million value were announced.
However, the deal activity between local companies/fund houses more than doubled to USD 2.7 billion during the January -March quarter, helped by a surge in the energy and power space, the report said. This segment captured 71.3 per cent of the deal activity, followed by telecom, media and technology space with 7.7 per cent at USD 398 million, up 52.1 per cent during the first quarter, it said.
On cross-border front, the deal activity fell 38.7 per cent to USD 1.9 billion in Q1, with inbound deals falling 49.4 per cent and outbound deals jumping 57.2 per cent, it said without giving the absolute amounts.
Giving the break-up of the deal flow, the report said the foreign firms' acquisitions into domestic companies or the inbound M&A into the country dipped 49.4 per cent to USD 1.4 billion, with Singapore leading the way with 9 deals collectively worth USD 371.4 million, it said.
On the outbound front, there was a 57.2 per cent increase to USD 497.6 million, with Mauritius attracting the most funds at 67.6 per cent. The total fees earned by the merchant bankers stood at USD 49.8 million, up by 51 per cent as compared to the same period last year, according to the report.
Bank of America Merill Lynch led the merchant bankers on the advisory fee earnings front, accounting for 31.9 per cent of the market share with USD 15.9 million in deals.
Dion Global Solutions Ltd.