India Invests Abroad

[IndoCarib]

For Indian entrepreneurs, the grass is greener across the border. Data from Reserve Bank of India showed that Indian companies invested $43.9 billion overseas in 2010 to expand their empires, compared with just $18 billion a year earlier. But the most startling fact is this--Indian companies overtook their Chinese counterparts in buying minerals in 2010! They invested $4.64 billion in acquiring mines while the Chinese spent $4.45 billion. The thirst has become larger this year, with Indian businessmen investing $13.3 billion overseas in the first four months alone of this financial year.

These examples of overseas acquisitions (until September 2011) prove that the search for minerals dominated Indian investments abroad this year too. We are also buying hospitals, hedge funds and brokerages.

Australia Emerged as a Favorite Destination

1. Lanco Infratech acquired Griffin Coal for A$730 million.
2. Adani Group acquires Australia’s Abbot Port for A$1.8 billion.
3. GVK acquired Hancock Coal and Infra of Australia for A$1.21 billion.

And Africa Remains a Favorite

1. Essar Steel acquires Zimbabwe Iron and Steel Company (ZISCO) with a commitment to invest $750 million.
2. Religare Capital Markets acquires majority stake in South African broking firm Noah Financial Innovation.
3. Godrej Consumer Products acquires 51% stake in a leading pan-African hair care company, Darling Group Holdings, for over Rs 500 crore.

Most acquisitions were for minerals or to create infrastructure to move the resources. The search for coal, ore and other natural resources took Indian entrepreneurs to diverse regions.

1. Jindal Poly Films acquired coal block in Mozambique.
2. GMR Energy Ltd, flagship company for the GMR Group, acquired 30% equity stake in PT Golden Energy Mines Tbk (GEMS), a Sinar Mas Group company in Indonesia for $450-$550 million.
3. Sesa Goa acquired 51% stake in iron ore miner Western Cluster of Liberia, Africa.
4. ArcelorMittal acquired Kokerei Prosper, the German coke producer.
5. Essar Oil Acquired Stanlow Refinery and Associated Local Marketing Business from Royal Dutch Shell for $1.2 billion.
6. Tata Chemicals acquired U.S.-based potash miner EPM Mining Ventures for an undisclosed sum.

Other acquisitions were a motley crowd – from hospitals and carbon black to software and agrochemicals. One thing is for sure, Indian entrepreneurs are on the prowl.

India Invests Abroad - Forbes.com

 

[Shardul.....the lion]

A humble begining

 

[IndoCarib]

Not humble beginning anymore. We have matured and Indian companies playing at a global scale competing with China and other countries.

It is interesting to note this;

"Indian companies overtook their Chinese counterparts in buying minerals in 2010! They invested $4.64 billion in acquiring mines while the Chinese spent $4.45 billion".

 

[Shardul.....the lion]

I am not saying humble beginning for second sentence.
I am saying humble begining for first sentence.

Can you understand that I am trying to ruffle some feathers here...... ha ha ha

 

[Chandragupta Maurya]

INDIA"S TOP GLOBAL ACQUISITIONS
Top 10 global acquisitions by Indian companies | Independentvoice.in

The quest began when Tata Tea took over a company twice its own size, Tetley Tea in 2000. From 2003 onwards, the trend of taking over other companies by Indian companies gained substantial pace. Let us now check out some valuable global acquisitions done by Indian companies.

The biggest and the one which is called the father of all acquisitions in India, is Tata Steel acquiring Anglo-Dutch firm Corus Group in 2006 to create the fifth largest steel company of the world. The deal was worth $7.6 billion ( 36,650 crore).

In 2009, Suzlon acquires Germany's REpower, a major producer of wind power. Suzlon operates the largest wind park in the world, the 584 MW wind park in the Eastern Ghats-Tamil Nadu.

Aditya Birla Group’s Hindalco Industries, India’s largest non-ferrous metals company, acquired the Canada based firm Novalis in an all-cash transaction for $6 billion.

In 2008, there was a huge earth quake in the automobile market when Tata acquired Britain’s most famous automobile manufacturers Jaguar and Land Rover, in a $2.3 billion deal with Ford, their American owners.

Subhash Chandra’s Essel Packaging (EPL) acquired the Swiss tube packaging major Propack, and joined hands to become the world’s largest in laminated tubes.

In 2006, Ranbaxy Laboratories(RLL) created quite a stir when it announced the acquisition of 3 drug-makers in Europe, all within a week’s time. Allen S.p.A, a division of GlaxoSmithKline (GSK) in Italy, Romania’s largest independent generic drug producer Terapiaand drug maker Ethimed NV in Belgium.

In 2007, Pharmaceutical and biotechnology major Wockhardt bought the fourth largest independent, integrated pharmaceutical group in France, Negma Laboratories. At a deal of $265 million, Wockhardt became the largest Indian pharmaceutical company in Europe with more than 1500 employees based in the continent.

Bennett Coleman & Co, India’s largest media group and the holding company of the Times of India group, bought Virgin Radio in the UK in a $53.2 million (Rs 445cr approx) deal with SMG Plc. in 2008.

Mahindra & Mahindra acquired 90 percent stakes of Schoneweiss, a leading company in the forging sector in Germany. The deal took place in 2007, and consolidated Mahindra’s position in the global market.

Sterlite Industries, a part of the Vedanta Group signed an agreement regarding the acquisition of copper mining company Asarco for $ 2.6 billion in 2008. The deal surpassed Tata’s $2.3 billion deal of acquiring Land Rover and Jaguar. After the finalization of the deal Sterlite would become third largest copper mining company in the world.

AND,

Numerous other U.S. directed investments across multiple industries -

http://www.ivgpartners.com/reports/IVG Report - US-bound Acquisitions in India 2010.pdf