PE/VC investments decline marginally in March quarter: Report
private equity and venture capital funds have declined by 1 per cent year-on-year to USD 13.5 billion in the March 2024 quarter, according to a report. However, it was 41 per cent higher compared to the preceding December quarter, the report by consultancy firm EY and industry lobby grouping IVCA said.
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When looked at from a volume perspective, the number of deals was 33 per cent higher at 292 in January-March 2024 against 220 in the year-ago period, it added.
«We believe the markets and PE/VC investment activity will be range-bound till clarity emerges on election results and the risk of escalation in the geopolitical conflicts eases down,» EY partner Vivek Soni said.
The infrastructure sector received the maximum PE/VC investments in the quarter at USD 6.5 billion across 23 deals, 138 per cent higher than the USD 2.7 billion across 14 deals in the year-ago period, it said, adding that the same was led by the USD 2 billion investment by Brookfield in ATC India Tower Corporation.
The financial services sector was the second largest by sector at USD 1.5 billion across 48 deals, 4 per cent lower in value terms.
Pure play PE/VC investments (excluding investments in real estate and infrastructure) were 5 per cent higher at USD 6 billion and accounted for 45 per cent of all the PE/VC investments in the quarter.
Buyouts were the highest deal segment at USD 4.5 billion across 10 deals, 39 per cent higher in value terms compared to USD 3.2 billion
