International and Emerging Markets Blog
Monday, April 16, 2012 | Posted by: Grant Thornton
Categories:
India,
India Watch Issue 16
| Tags: sectors,
IPO,
Private Equity,
M&A 2012,
India Mergers and Acquisitions 2012,
Domestic Deals 2012,
Internal restructuring,
Deals 2012,
first quarter 2012,
Mergers,
deals 2012,
QIP
The quarter witnessed M&A deal activity of US$18 billion, in line with activity levels seen during the corresponding period in 2010 and 2011. However, the focus in Q1 2012 was domestic deals, particularly internal restructuring and mergers comprising approximately US$13 billion of the total M&A deal value. The focus on mergers and internal restructuring activities, a trend which gained prominence in 2011, appears to have intensified in 2012 driven by Vedanta Group restructuring, estimated to be worth over US$12 billion.
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Monday, April 16, 2012 | Posted by: Grant Thornton
Categories:
India,
India Watch Issue 16
| Tags: India,
India Watch,
inflation,
foreign direct investment,
sector trends,
Deals 2012,
agriculture and energy sectors,
london markets 2012,
indian SMEs,
Smaller caps index,
london stock exchange,
Eurozone
It appears market watchers were right to be optimistic. Having fallen 11.27% during 2011, the Grant Thornton India Watch Smaller Caps Index outperformed all major indices between January and March 2012, closing at 24% up.
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Monday, April 16, 2012 | Posted by: Grant Thornton
Categories:
India,
India Watch Issue 16
| Tags: India,
fund managers,
Investor relations,
Foreign institutional investors,
market capitalisation,
Global investor,
Communication materials,
Financial markets,
markets,
Research analysis,
public capital,
Capital
Despite the strong recent flows of Foreign Institutional Investors (FII) capital into the Indian equity markets, Indian corporates more than ever need to proactively attract and maintain the attention of increasingly selective global fund managers. This applies equally to Indian companies listed in London. Leaving investors to identify the future outperformers in each industry sector, without management having the opportunity to best present their specific investment case, has direct value implications. These potentially include having to issue equity at relatively unattractive valuations for ongoing deleveraging, financing future growth plans and meeting upcoming minimum free float requirements. Ultimately a successful investor relations (IR) programme should achieve an appropriate trading valuation based on a continuous and open communication with the financial markets. Shareholders recognise the appointment of an international IR adviser as part of management’s ongoing commitment to bridge any market valuation discount.
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Monday, April 16, 2012 | Posted by: Grant Thornton
Categories:
India,
India Watch Issue 16
| Tags: India,
Budget 2012,
Arm's length price,
Direct tax,
Advance Pricing Agreements,
Cross-border deals,
Foreign investment,
Indian assets,
Direct Tax code,
Tax,
Taxation,
Anti-avoidance rules,
Financing,
Transfer pricing
The ruling Indian government presented the budget proposals for the financial year (FY) 2012-2013 before the lower house of the Indian Parliament on March 16th. The Direct Tax Code (DTC) was planned to substitute the existing Indian Income Tax Act, however, this has been deferred, with the Finance Minister re-affirming enactment of DTC at the earliest opportunity.
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Monday, April 16, 2012 | Posted by: Grant Thornton
Categories:
India,
India Watch Issue 16
| Tags: Budget 2012,
India Sectors,
Pranab Mukherjee,
Mining,
Indian Budget,
Indian government,
Fiscal Deficit,
Indian growth,
Manufacturing,
Indian economy
It is proving difficult for the Indian government to support and develop the economic potential of the country. The recent state elections have now further dented the Government’s ability to push through the economic reforms required. In addition, the recent Indian Budget 2012 has faced increasing criticism and in many economists’ views it failed to implement suitable measures to encourage foreign investment and sustainable economic growth.
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Wednesday, April 04, 2012 | Posted by: Grant Thornton
Categories:
China ,
Thought leadership
| Tags: business,
China,
growth,
expansion,
BRIC,
JV,
partnership,
BRICS,
WFOE,
franchise,
new markets,
location,
product
How best to enter the dragon? Opportunities, structure and strategies for UK businesses entering China are among the hot topics currently being discussed over on our new FD Intelligence blog…
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Tuesday, April 03, 2012 | Posted by: Grant Thornton
Categories:
Thought leadership
| Tags: business,
economy,
survey,
IBR,
economic,
International Business Report,
optimism,
2012,
indicators,
Q1
New data from the International Business Report (IBR) reveals that many mature market businesses are experiencing a more upbeat first quarter – click on the image left to see G7 confidence levels in Q1 in full. This upturn is also having a knock-on effect on emerging economies, with Peru and Brazil leading the way.
Read on for the highlights from our Q1 economic update…
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