Private Equity-Venture Capital (PE-VC) funds invested $7 Billion (across 205 deals) in India-based companies during the quarter ended September 2024 (Q3'24), shows data from Venture Intelligence, a research service focused on private company financials, transactions, and their valuations.
The investment amount represents a 9% rise over the $6.4 Billion (across 193 deals) invested in the same period during 2023 (and 6% higher in volume terms). However, the figure was as much as 20% lower (and 10% lower in volume terms) when compared to the immediate previous quarter (which witnessed $8.8 Billion being invested across 228 deals).
Q3’24 witnessed 20 mega deals ($100 M+ rounds) worth $5.1 Billion, compared to 17 such investments (worth $4.7 Billion) in Q3’23 and 24 such deals (worth $6.4 Billion) in the immediate previous quarter.
The largest investment announced in the latest quarter was the $550 Million commitment by Canada-headquartered infrastructure focused investor, Brookfield, to acquire a controlling stake in Coimbatore-based renewables platform Leap Green Energy .
CVC Capital Partners' $408 Million secondary investment in the Jaipur-based Aavas Financiers Limited (AFL) was the second largest deal during Q3'24. This was followed by the $340 Million investment in quick-commerce startup Zepto (by Lightspeed Ventures, Nexus Venture Partners, DST Global and StepStone Group,among others) - the second mega investment attracted by the unicorn company during the year (quickly following the $665 Million announced in June).
These deals were followed by the $ 334 Million investment from Japan's MUFG Innovation Partners in Delhi-based digital lending company DMI Finance and the $300 Million acquisition of Baby Memorial Hospital by KKR.
Pick-up in Unicorns
Q3’24 saw 3 "Unicorn" companies (VC-funded startups valued at $1 Billion or more) being created: fintech lender Moneyview, EV two wheeler maker Ather Energy and ride-hailing startup Rapido, This takes the total number of Unicorns minted during 2024 to five (compared to just two during the entire of 2023).
By Industry
Led by the $340 Million investment in Zepto, IT & ITES companies continued to top the industry table for the quarter, attracting $3 Billion across 112 deals. Zepto was followed by the $210 Million investment in EdTech company PhysicsWallah (by GSV Ventures, Orchid Asia, WestBridge and Lightspeed Ventures) and the $200 Million investment in ride-hailing startup Rapido (by Think Investments, WestBridge, Nexus Venture Partners and other investors).
The BFSI industry came in next, attracting $1.2 Billion across 14 deals in Q3 '24. Deals in the industry were led by CVC Capital Partners' $408 million secondary investment in Jaipur-based Aavas Financiers Limited, the $334 million investment in Delhi-based digital lending company DMI Finance and the $210 million acquisition of Mumbai-based affordable housing finance company Indostar Home Finance (by EQT Asia).
The Energy industry attracted about $1.2 billion across 9 deals during Q3’24. Investments in the industry were led by $ 550 Million acquisition of Leap Green Energy by Brookfield, the $275 Million investment in Fourth Partner Energy (by ADB, DEG and IFC) and the $150 million in Continuum Green Energy (by Just Climate).
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 Q3'24 in the next few days.)