Latest Expert Exchange Queries

Make your inventory and invoicing software GST Ready from Binarysoft info@binarysoft.com
sitemapHome | Registration | Job Portal for CA's | Expert Exchange | Currency Converter | Post Matrimonial Ads | Post Property Ads
 
 
News shortcuts: From the Courts | News Headlines | VAT (Value Added Tax) | Service Tax | Sales Tax | Placements & Empanelment | Various Acts & Rules | Latest Circulars | New Forms | Forex | Auditing | Direct Tax | Customs and Excise | ICAI | Corporate Law | Markets | Students | General | Indirect Tax | Mergers and Acquisitions | Continuing Prof. Edu. | Budget Extravaganza | Transfer Pricing
 
 
 
 
Popular Search: due date for vat payment :: list of goods taxed at 4% :: TAX RATES - GOODS TAXABLE @ 4% :: VAT Audit :: cpt :: VAT RATES :: ARTICLES ON INPUT TAX CREDIT IN VAT :: form 3cd :: articles on VAT and GST in India :: empanelment :: TDS :: ICAI offer Get Windows 7,Office 2010 in Rs.799 Taxes :: ACCOUNTING STANDARDS :: Central Excise rule to resale the machines to a new company :: ACCOUNTING STANDARD
 
 
Mergers and Acquisitions »
 How corporate mergers and acquisitions impact small investors
 Merger control triggers and thresholds in India
 Centre eases pre-merger filing normsa
 Mergers and Acquisitions in Indian banking sector not threat for fintech players
 This part of our journey is value discovery: Kumar Mangalam Birla
 Health care mergers, acquisitions lead surge in global deals
 Tata Teleservices could be acquired by Airtel as India heads towards four-operator market
 Deals of the day-Mergers and acquisitions june 28, 2017
 Why is Avendus Capital behind most large e-commerce deals in India?
 India one of most attractive merger and acquisitions destinations in Asia.
 Deals of the day-Mergers and acquisitions june 20, 2017

Mining M&A expected to pick up pace this year
February, 12th 2010

Merger and acquisition activity in the mining sector is likely to pick up pace in 2010 as producers shift their focus from cutting costs to driving growth in a recovering global economy, according to a report released on Thursday.

In the fourth quarter of 2009, 32 takeovers involving mining companies were announced, up from 21 in the third quarter and 17 each in the first and second quarters, the PriceWaterhouseCoopers (PwC) report said.

Early last year, miners were scrambling to deal with plunging metals prices following the late 2008 financial crisis, said PwC, an advisory firm.

Total deal value in the fourth quarter reached $4.9 billion, up from $3.7 billion in the third quarter. Deal value in the second quarter was $63 billion, due to the announcement of a $58 billion iron ore joint venture between BHP Billiton (BHP.AX) and Rio Tinto (RIO.AX).

The pace of deals should pick up in 2010, while the average size of deals -- which bottomed in the fourth quarter -- should also grow, albeit slowly, PwC said.

"We're beginning to see an uptick, which was expected, and we're getting back to levels that we saw pre-economic crisis," Robert McCutcheon, U.S. metals leader at PwC, said on a conference call.

Helping drive the rebound is a year-over-year gain in metals prices. Credit markets are also returning to normal after nearly freezing up more than a year ago.

The combination of the metals crash and tightening credit in 2008 forced larger miners to cut costs, put off development projects and trim back growth plans.

Many smaller miners found themselves teetering on the brink of insolvency, which led some to sell minority stakes in themselves or in key projects to larger buyers, including state-owned Chinese companies eager for access to metals.

The relatively high number of minority stakes sold contributed to the low average deal value in the third and fourth quarters.

Those types of deals will likely continue, but will be augmented by more deals of the type that drove M&A through early 2008, which involved larger partners and were driven by a desire to grow and take advantage of a rising price environment.

"The values are still pretty low," said McCutcheon.

"But the deal volumes is I think the story here because we are starting to see that uptick."

 
 
Home | About Us | Terms and Conditions | Contact Us
Copyright 2017 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
Binarysoft Technologies - Achievements

Transfer Pricing | International Taxation | Business Consulting | Corporate Compliance and Consulting | Assurance and Risk Advisory | Indirect Taxes | Direct Taxes | Transaction Advisory | Regular Compliance and Reporting | Tax Assessments | International Taxation Advisory | Capital Structuring | Withholding tax advisory | Expatriate Tax Reporting | Litigation | Badges | Club Badges | Seals | Military Insignias | Emblems | Family Crest | Software Development India | Software Development Company | SEO Company | Web Application Development | MLM Software | MLM Solutions