India Inc’s merger & acquisition (M&A) and private equity (PE) deal activity has shrunk by over 60% in the first two months of the year. The number of deals has dropped by two-thirds to 66 transactions and the combined value of deals has declined by 76% to $1.75 billion compared to same period last year. 

 As per data compiled by advisory firm Grant Thornton, the total number of M&As in the January-February period has come down to 35 from 99 last year. In the same period, the value of M&A deals announced has come down from $4.5 billion to $1.2 billion. This is largely because of the absence of any large transactions as the global economic slowdown coupled with credit crunch has made prospective acquirers cautious.