look news india
Ahmedabad: Private equity investment in India hit a six-year low of $24.2 billion in the fiscal year ending March 2024. Investments through PE deals declined by 47 per cent compared to FY23 as private equity deals during that period totaled $45.8 billion.
Private equity firms struck deals worth a record $80 billion during the fiscal year ending in March 2022, according to Bloomberg data. These investments were primarily made by various private equity firms in Reliance Jio and Reliance Retail in the financial year ending March 2022. In FY2024, NE signed 960 deals, while in FY2023, 1,334 deals were signed.
Several trends have contributed to this, including lack of liquidity in international markets, rising interest rates, market volatility, funding shortages, geopolitical uncertainties and private equity. The valuations of the parties were also not the same and the sellers thought it better to wait.
Despite the slowdown in the last financial year, private equity firms and bankers are optimistic about the future. The US private equity giant has said it plans to invest a significant portion of its new $6.4 billion Asia-focused fund in Indian infrastructure, including roads, highways and renewable energy.
He has invested 10 billion dollars in the country. Another US private equity firm, Blackstone, plans to add $25 billion of Indian private equity assets to its portfolio over the next five years.
Singapore's Temasek has invested $17 billion in India so far and plans to invest $9 to 10 billion in the healthcare, IT and fintech sectors in the next three years. Canada's Brookfield Asset Management is also a major investor in India's telecom tower infra, realty and renewable energy sectors with a stake of $25 billion.