India PE/VC investments jump 45% to $7 billion in September, highest in over two years

Mumbai: Private equity and venture capital (PE/VC) investments in India rose 45 per cent to USD 7 billion in September, marking the highest monthly investment value in over two years, according to a report released on Friday.

September also emerged as the strongest month for PE/VC investments so far in 2026, driven by the highest number of large-value deals recorded during the year. Investments were up 21 per cent from USD 5.8 billion in August 2026, according to an EY-IVCA monthly PE/VC roundup report.

PE/VC investments in the July-September quarter of 2026 rose 46 per cent year-on-year to USD 17.1 billion, compared with USD 11.7 billion in the year-ago period. Investments also more than doubled sequentially, registering a 124 per cent increase from USD 7.6 billion in the April-June quarter, the report said.


The number of deals in the quarter, however, declined 9 per cent year-on-year to 348 from 384, although it was up 44 per cent sequentially.

Large deals dominated PE/VC investments during the July-September quarter, accounting for 76 per cent of the total investments. A total of 36 large deals worth USD 13 billion were recorded in Q3 of 2026, marking a 97 per cent increase in value compared to USD 6.6 billion across 26 deals in the year-ago period.

Compared to the preceding quarter, the value of large deals surged 178 per cent from USD 4.7 billion across 21 deals. The largest transaction during the quarter was KKR's acquisition of Medicover India for USD 1.4 billion, the report said.

A breakdown of investments showed that pure-play PE/VC investments declined 2 per cent year-on-year to USD 8.5 billion, while investments in real estate and infrastructure surged 182 per cent to USD 8.6 billion from USD 3.2 billion in the year-ago period. On a sequential basis, pure-play investments rose 92 per cent, while real estate and infrastructure investments increased 168 per cent, as per the report.

In terms of deal categories, buyout transactions accounted for the highest investment value at USD 5.1 billion in the September quarter, followed by startup investments at USD 4.8 billion. Infrastructure emerged as the leading sector, attracting USD 7.2 billion, followed by healthcare with USD 3.1 billion.

PE/VC exits stood at USD 10.4 billion across 113 deals during the quarter, down 24 per cent from USD 13.7 billion in the year-ago period. Open market transactions accounted for 57 per cent of the total exit value at USD 5.9 billion.

Open market exits dominated PE/VC exits in the July-September quarter, accounting for 57 per cent of the total exit value at USD 5.9 billion across 54 transactions. This marked a 93 per cent year-on-year increase from USD 3.1 billion across 26 exits in the year-ago period and a 113 per cent rise over USD 2.8 billion in the preceding quarter, as per the report.

Secondary exits stood at USD 2 billion across 15 transactions, up 18 per cent from USD 1.7 billion a year ago.

The largest exit during the quarter was Avaada Ventures' repayment of USD 701 million in debt to Brookfield Renewable.

Sector-wise, financial services led with the highest exit value of USD 2.8 billion across 21 transactions, followed by e-commerce at USD 2 billion and healthcare at USD 1.4 billion.

Going forward, PE/VC investors are expected to remain cautious and selective, prioritising the resilience of future profitability and returns on capital amid inflationary pressures and elevated crude oil prices, the report said.