PE inflows begin to look up, jumps 75% QoQ 3.6 billion USD in Q2

MUMBAI: After the long funding winter that began with the Russian war on Ukraine in late February 2022, private equity investments began to look up in the second quarter of the year ending June. The inflows touched $3.6 billion, registering a robust 75 per cent sequential increase. On a half-yearly basis, the inflows touched $5.7 billion, which is still down 3.6 per cent on-year.

According to LSEG Deals Intelligence, the market data-providing arm of the London Stock Exchange Group, the private equity investment inflows into the country saw a marked improvement in the second quarter of 2024, who the inflows touching $3.6 billion, registering a robust 75 per cent rise over the first quarter. This takes the overall inflows so far this year to $5.7 billion, still 3.6 per cent down on year.

Still, India remains a critical market for deploying private equity capital, accounting for at least 22 per cent of the total inflows into Asia Pacific in the first half of 2024 compared to 19 per cent market share in the first half of 2023, Elaine Tan, a senior manager at LSEG Deals Intelligence.

Private equity and venture capital firms continue to focus on the country given its strong economic growth, thriving domestic equity capital markets, and dynamic startup ecosystem. The expanding consumer market further provides ample growth opportunities across various sectors, including technology, healthcare, renewable energy, and infrastructure, says Tan.

According to Tan, the top 10 PE deals of the year thus far are the following: Kiranakart Technologies ($665 million), Meesho Payments ($275 million), Axelia Solutions ($216 million), Yes Bank ($172.5 million), Kogta Financial  ($148 million), Provident Housing ($137.7 million), Maiva Pharma ($119.9 million), Upgrid Solutions ($110 million), Pocket FM ($103 million), and Nephrocare Health Services ($102 million).