Acquisitions Of 2021 That Made Headlines

Over the years, Mergers and Acquisitions (M&A) have become one of the most beneficial strategies in the world of business. In the Indian subcontinent, taking over another business has happened very frequently. The purpose of such an M&A revolves around a company's long term growth strategy, such as increasing market share, geographical outreach, reducing competition, profit from patents, or even entering new sectors or product lines. Companies often make required use of other under performing companies or governments looking to disinvest.

As per a report by financial markets tracker Refinitiv, merger and acquisition (M& A) activity in India touched a three-year high, with deals worth $90.4 billion hits in the first nine months of 2021, a 35.1% increase compared to those in the first nine months to the same period a year ago, here we'll take a look at the some of the significant Mergers and Acquisitions in India 2021.

Revival Of Air India
On October 8, after a gap of 68 years, debt laden national carrier Air India handed back to its founders Tata Sons, concluded a decades long struggle to offload the money losing flag carrier. The salt to software conglomerate set a winning bid of 18,000 crores reacquire the airline more than half a century after it yielded control to the Centre. The winning bid of Tata Sons for Air India was more than the government's reserve price of Rs 12,906 crore.

Reliance Signs Green Loans To Fund Rec Solar Acquisition
On December 6, Reliance Industries Ltd (RIL) has inked a $736 million equivalent green loan to fund its acquisition of Norwegian solar panel manufacturer REC Solar Holdings, marking it as the first such financing for the Indian conglomerate.

RIL disclosed its plan to use REC Solar's industry leading technology in its fully integrated, metallic silicon to PV panel manufacturing Giga factory at Dhirubhai Ambani Green Energy Giga Complex, Jamnagar, primarily beginning with 4GW per annum capacity and eventually growing to 10GW per annum. The green financing is the only loan from RIL so far this year.

The acquisition aims to provide education to students at a much larger scale with multiple delivery channels that can be innovated out of both ecosystems (online and offline). Byju's would make further investments to accelerate Aakash's growth.

Sony, Zee To Merge Into A Blockbuster Unit
Zee Entertainment Enterprises Limited (ZEEL) and Sony Pictures Networks India (SPNI), two of India's most prominent media firms, took their first steps towards a multibillion dollar merger. The agreement possesses the potential to brand the newly created company, one of the country's largest and most sought after. Sony Pictures Entertainment would invest $1.575 billion in the newly consolidated firm as part of the acquisition. The two parties agreed to ink a non compete agreement.

On October 6, Ola moved to acquire geospatial services provider GeoSpoc. The vision of the acquisition is to build the next generation of location technology, including realtime, three dimensional, and vector maps.

As part of the Ola GeoSpoc acquisition deal, CEO Dhruva Rajan and his team of geospatial scientists and engineers would join the ride hailing startup to develop technologies.

Nykaa Acquires Skincare Brand Dot & Key
Beauty and fashion e-commerce platform Nykaa on October 22 claimed the acquisition of home grown skincare brand Dot & Key, making it the first direct to consumer (D2C) beauty brand acquired by the soon to be listed company. As per the investment, Dot & Key would join Nykaa's stable of owned brands, the company said in a statement.