There is an increase of 13 percent in M&A in 11 months of the year.

New Delhi: Merger-acquisition deals have increased by 13.5 percent in the first 11 months of the current calendar year. As a result, investment bankers are expected to receive huge bonus amounts in the year 2024. These deals grew 13.5 percent from last year and reached a value of $88.9 billion in the first 11 months of the year.

Good economic growth, technological advancements and private equity leveraging funds remaining for investment are creating a favorable environment for deals as bankers expect 2025 to be a record year for M&A deals as well.

PwC India said deal activity is expected to remain strong in 2025 due to stable interest rates, low inflation and abundant investment capital available in the form of private and public funds along with unused funds. These favorable conditions will encourage companies to accelerate growth, especially as digital transformation and strategic acquisitions accelerate.

The number of deals increased by 25.9 percent to 2,811 in the first 11 months of 2024, compared to 2,232 deals in the same period last year. M&A deals typically slow down in the last week of the year due to the Christmas holidays.

Trends through 2024 indicate that early-stage investments and smaller-sized deals will prevail. Sources said the capital market is expected to remain bullish and the possibility of interest rate cuts could bring more liquidity in the market. However, this may limit opportunities for mergers and acquisitions and private equity investments.