Deal activities declined 35 per cent to USD 9.7 billion across 332 transactions in the first quarter of 2023 due to an overall decline in deal activities as the fear of a global recession has gained more traction amid the continuing war on Ukraine, according to an industry report. Of the total deals, M&As constituted more than half, still lower by 21 per cent at USD 4.4 billion involving 76 deals, down 56 per cent during the March quarter, according to the data collated by Grant Thornton. In volume terms, overall deals fell by 46 per cent to 332 transactions.
The main reason for the poor show was the tepid IPO market, which plunged to USD 84.4 million from USD 1 billion in Q1 of 2022.
On the other hand, QIP witnessed two fundraise — Spicejet’s cargo and logistics business raising USD 301 million, followed by Data Patterns raising USD 60 million. However, it was less than USD 541 million in Q1 of 2022.
Another reason is the deepening funding winter, resulting in PE activity…