Hindustan Times: Europe eyes India for infotech deals- Indulal PM & Venkatesh Ganesh
India’s Information Technology sector is expected to lead the next big wave of cross boarder mergers and acquisitions (M&A) with Europe and India finding new synergies due to a depreciating dollar and the software services companies’ urge to scale up operations. According to analysts and investment bankers, the change in dollar-rupee equation will force Indian IT firms to look more at Europe and non-US centric geographies for expansion. Europe-targeted cross border mergers and acquisitions are expected to be increased over the next few years. Investment bankers predict there can be deals ranging from $100 million to $1.5 billion in the IT sector over the next few years. “There are enough skill sets in India and the industry has matured enough. There will be a mix of private equity or a strategic player pitching in for buyouts in the short to medium term future. We expect there will be deals ranging from $100 million to $1.5 billion in the IT sector soon, which were not there earlier,” said Frank Haffmans, executive director for ABN Amro’s technology banking division in Europe.
