Local firms step up heat on M&A front

Domestic companies are increasingly snapping up local assets on the block, often beating private equity firms, a trend expected to continue on the back of strong balance sheets.

- Ranjani Raghavan

While much of the domestic consolidation was earlier led by large conglomerates such as Reliance, the Tatas or the Adani Group, in recent years, many mid-sized corporates have stepped up to widen their footprint and capabilities through acquisitions.

"Over the last year, we are seeing increasing participation in domestic consolidation from large- and mid-size Indian corporates across sectors and deal sizes. We expect this domestic consolidation trend to continue, as Indian corporates will continue to be acquirers of strategic assets to strengthen their product portfolios, distribution capabilities and technology platforms," said Amit Thawani, managing director and head of investment banking, India at Nomura.