Private Equity-Venture Capital (PE-VC) investments in India during the
quarter ended June 2022 (Q2'22), at $11.6 Billion across 322 deals,
registered an over 23.7% decrease compared to the same period in 2021
(which saw $15.2 Billion being invested across 264 deals). The
investment amount was also down almost 28.1% compared to the immediate
previous quarter (which saw $16.1 Billion being invested across 391
deals) and marked three continuous quarters of decline, shows data from
Venture Intelligence, a research service focused on private company financials,
transactions, and their valuations.
However the PE-VC investment figures for the first 6 months of 2022 -
at $27.6 Billion (across 713 deals) - was 16% higher compared to the
same period in 2021 (which saw $23.9 Billion being invested across 526
deals).
Fewer Unicorns
The latest quarter saw the minting of 4 new
Unicorns
- Leadsquared, Purplle, PhysicsWallah, and Open Financial Technologies -
compared to 11 in Q2'21 and 14 in the immediate previous quarter.
Overall,
Unicorn Startups in India
attracted close to $8.5 Billion worth of investments in H1'22, - down by
16% compared to the same period last year (which saw $10.1 Billion being
invested in Unicorn Startups).
The $805 million investment into mobile-based Content and News aggregator
Unicorn – Dailyhunt (from Sumeru Ventures, Luxor Capital, Ontario
Teachers Pension Plan, Sofina, Baillie Gifford, and CPPIB) - accounted for 7%
of PE-VC investment pie in Q2'22. The other top PE-VC deals of Q2'22 included
the $775 million purchase of six toll road projects from
Welspun Enterprises by Actis and the $593 million acquisition of
IDFC AMC by a consortium comprising private equity investors GIC,
ChrysCapital, and others. This was followed by a $304 million pre-IPO
fundraise by logistics tech startup Delhivery and a $285 million
fundraise by Hindustan Ports, a local arm of UAE-based DP World
operating five container terminals in India.
By Industry
IT & ITeS companies accounted for $6.3 Billion of the total
investment pie in Q2'22, lower by 39% when compared with Q2'21 (which saw
$10.4 Billion being invested). This was led by the $805 million
fundraise by Dailyhunt (from Sumeru Ventures, Luxor Capital, Ontario
Teachers Pension Plan, Sofina, Baillie Gifford, and CPPIB) and the
$270 million raised by Neobank Stashfin (from Altara Ventures,
Uncorrelated Ventures, Abstract Ventures, Snow Leopard Technology Ventures,
and others). Chinese technology giant Tencent acquired an additional stake
worth $264 million in e-commerce player Flipkart from the latter's
co-founder Binny Bansal.
The BFSI industry attracted about $1.3 Billion in Q2'22 - a 88% spike
compared to the $0.7 Billion in Q2'21. The acquisition of IDFC AMC by
a consortium comprising private equity investors GIC, ChrysCapital, and
others for $593 million topped the BFSI list, followed by ADIA’s $282
million investment in IIFL Home Finance for a 20% stake.
The Healthcare & Life Sciences industry saw $900 million worth of
investments in Q2'22, down by 39% compared to the $1.5 Billion invested in
Q2'21. ADIA invested $262 million in Ahmedabad-based
Intas Pharmaceuticals for a 3% stake. This was followed by a $136
million investment in Dr. Agarwals Healthcare by TPG Growth and
Temasek.
Venture Intelligence
is India's longest-serving provider of data and analysis on Private
Company Financials, Transactions (private equity, venture capital, and
M&A) & their Valuations in India.
(Venture Intelligence
Subscribers will be mailed detailed reports of the PE-VC action during
Q2'22 in the next few days.)