Mahindra & Mahindra Ltd. said Tuesday it has acquired a 75.1% stake each in two Australian aerospace companies for INR1.75 billion (US$37.4 million) to expand its aircraft and aerospace-component manufacturing business. The company, through its wholly owned unit Mahindra Aerospace Pvt. Ltd. and jointly with Kotak Private Equity, acquired the stake in aircraft maker Gippsland Aeronautics and parts supplier Aerostaff Australia, it said. "The 24.9% stake remaining with each company (Gippsland and Aerostaff) will be eventually converted into stocks in Mahindra Aerospace," Arvind Mehra, senior vice president of strategy at Mahindra Systech, told reporters. He didn't say when or under what terms the stake will be converted.   more »

As was widely expected, mergers and acquisitions (M&As) and private equity (PE) investments in India have seen a substantial decline in value and volume compared to previous years, despite the revival in the second half of the year. The total value of deals (M&A and PE) announced in the calendar year 2009 (January-December 13) was $21.20 billion as against $41.54 billion and $70.14 billion in 2008 and 2007, respectively, as per a latest study by Grant Thornton India. Deal volumes (M&A and PE-QIP together) have dropped in 2009 as compared to 2008. There were more than 766 deals in 2008, as compared to 488 in 2009. The average Indian M&A deal size was $37.55 million, while the average Indian PE deal size was around $50.55 million during the period.   more »

Standard Chartered Private Equity Ltd. invested US$33 million in Firepro Systems Private Ltd., India's largest fire and electronic safety firm, the companies said Wednesday. The capital will be used to expand and upgrade Firepro's business, they said. "The infrastructure protection and safety sector is poised for strong growth and we wish to be at the crest of this opportunity," N.S. Narendra, chairman and managing director of Firepro, said in a statement.   more »