According to data from Venture Intelligence, private equity-venture capital (PE-VC) funds invested USD 6 billion (across 139 deals) in India-based companies during the quarter ended September 2023 (Q3 FY23),
Compared to the corresponding quarter in the previous year, this represents a 15 percent decline. In 2022, the ecosystem recorded an investment of USD 7 billion across 327 deals.
As per the report, the investment amount also dipped 49 per cent compared to the immediate previous quarter (which saw USD 11.7 billion being invested across 202 deals).
The investment till September this year falls to USD 23.6 billion across 542 deals, it accounts to 38 per cent drop compared to the same period in 2022. Which saw an investment of around USD 38.1 billion across 1,141 deals.
In the third quarter of FY23, there were 16 significant investment deals valued at USD 4.5 billion. This marks an increase from the 13 deals worth USD 3.8 billion in the previous quarter, but a decrease from the 22 deals worth USD 9.7 billion in the quarter before that.
One standout investment was the USD 1 billion infusion from Qatar Investment Authority into Reliance Retail Ventures, which accounted for 17 per cent of the total private equity and venture capital investments in Q
3 FY23. Other notable deals included Baring Asia’s USD 700 million acquisition of fertility clinic chain Indira IVF, and Carlyle Group’s USD 500 million investment in engineering services BPO firm Quest Global. Additionally, global PE investor KKR made two significant investments: USD 275 million in logistics tech startup Leap India and USD 250 million in Reliance Retail Ventures.
During this quarter, there was also a positive development as quick commerce startup Zepto emerged as a new unicorn, becoming the first company valued at over USD 1 billion in nearly a year.
Overall, unicorn companies in India received approximately USD 400 million in investments during Q3, marking a 16 per cent decline compared to the same period last year and a 44 per cent decrease compared to the previous quarter.