Private equity and venture capital investments in April were up 23 percent at US $2.4 billion, backed by large deals in sectors like e-commerce and life sciences, says an EY report.
According to EY, there were 69 PE/VC deals in April worth US $2,370.09 million, while the corresponding month of 2017 had registered 66 such deals worth US $1,920.32 million.
“PE/VC deal activity in India continues to gather steam and become more robust. Both investments as well as exits are on an upward trend,” Vivek Soni, Partner and Leader for Private Equity Advisory, EY was quoted by PTI as saying.
According to a PTI report: Exits also recorded a significant growth of 47 percent in terms of value during the same period, primarily on account of a single large exit by Actis worth US $692 million.
Soni said the recently announced majority acquisition of Flipkart by Walmart is expected to re-rate the Indian startup sector.
“We believe it will inject new found enthusiasm and energy into the early to mid-stage investing eco-system and inspire many more entrepreneurs,” he was further quoted by PTI as saying.
The next 4-5 years are expected to be the golden age for the Indian PE/VC sector, provided there is stability in the political as well as policy front, he said.
The largest investment in April 2018 saw Softbank invest US $400 million for a 21 percent stake in Paytm Mall.