This paper examines the motives behind domestic mergers and acquisitions by Indian corporates during the pre-COVID period, from 1998 to 2019. Using industry-level panel data and a Tobit regression model, it identifies key drivers of merger and acquisition activity across different sectors. Foreign competition spurs consolidation in services, while manufacturing firms pursue diversification during stable growth. The study finds no support for stock-market misvaluation or megamergers as motivations. Overall, Indian firms engage in mergers and acquisitions to expand and improve efficiency, not for financial opportunism, offering insights into corporate strategy in emerging markets and implications for policymakers.