Private equity and venture capital investments in India surged to $4.1 billion in July, a 3% YoY increase. Discover key sectors, deal sizes, and future outlook.
Key Points
- PE/VC investments in India rose 3% year-on-year to USD 4.1 billion in July.
- The number of deals decreased, but higher ticket sizes led to increased investment value.
- Buyout investments jumped 176%, and startup investments grew 90% year-on-year.
- Infrastructure, financial services, and food & agriculture led sectoral investments.
- Fundraising activity also increased, with USD 2.5 billion raised across eight funds.
Mumbai, Aug 31 (PTI) Private equity and venture capital funds’ investments in India increased 3 per cent year-on-year to USD 4.1 billion in July, as per a report released on Monday.
The investments were up from USD 4 billion recorded in July last year, and 52 per cent higher than USD 2.7 billion invested in the preceding month, the report by the consultant EY and industry grouping IVCA said.
The number of deals in July 2026 at 111 was 7 per cent lower than the 119 transactions in July 2025, indicating a jump in ticket sizes, and were much higher than the 80 deals in June 2026, the report said.
“India’s macroeconomic fundamentals remain supportive of investment activity. With significant dry powder available across PE/VC (Private equity and venture capital) funds, deal-making is expected to accelerate further as geopolitical conditions stabilise,” the consultancy firm’s partner Vivek Soni said.
July 2026 recorded 10 large deals totaling USD 2.8 billion or around 68 per cent of the total activity, it said, adding that Brookfield’s USD 600 million bet in Lumara was the highest.
Buyout investments accounted for the largest share of PE/VC activity in July 2026, with USD 1.4 billion deployed, which was a 176 per cent jump from the USD 511 million in July 2025 while credit investments ranked second, witnessing over USD 880 million getting invested.
Investments into startups jumped 90 per cent on-year to USD 805 million in July 2026, the report noted.
From a sectoral perspective, infrastructure led with USD 1.5 billion in investments, followed by financial services at USD 649 million and food and agriculture with USD 335 million, as per the report.
There were 17 exits worth USD 1.6 billion compared to USD 9.2 billion across 26 exits in July 2025, the report said, reminding that the year-ago period saw Temasek’s USD 6.4 billion exit from Schneider Electric.
PE and VC funds raised USD 2.5 billion across eight fund raises in July as against USD 1.5 billion in the year-ago period.