PE investments in India up 74% in Q4'13; highest in 6 yrs: PwC

Private equity firms invested $2.12 billion on 76 deals in India during the October-December quarter, up 74 per cent year-on-year, says a PwC report.

The investments exceeded the $2 billion mark for the first time in 6 years.

The IT and ITeS sector emerged as the leader in terms of value and volume during the period, said PwC MoneyTree India, a quarterly study, based on data provided by Venture Intelligence.

"The fourth quarter of last year (Q4 2013) proved to be an exciting quarter for PE investment with total flows exceeding $2 billion, the first time since post Q4 2007," PwC Private Equity leader Sanjeev Krishan said.

Investment value witnessed a surge both in terms of quarter-on-quarter basis and year-on-year basis.

On a quarter-on-quarter basis investments value was up by about 19 per cent, while compared to the same period last year (Q4 2012) there was an increase of 74 per cent in deal value.

"Whilst it is difficult to attribute any one specific reason for this sudden surge in deals, it just proved the point that investors, whilst closely watching the run-up to the elections, remain cautiously positive about the investment thesis for India," Krishan said.

A sector-wise analysis shows that with 37 deals worth $959 million in Q4 2013, the IT and ITeS sector emerged as the leader in terms of value and volume of transactions.

"With the US market showing signs of recovery and with the increased attractiveness in the e-commerce space in India, there were not only an increased number of deals compared to the previous quarter, but also a substantial jump in the value," PwC Technology leader Sandeep Ladda said.

The healthcare and life sciences sector witnessed almost four times increase in deal value, from $191 million in the previous quarter (Q3 2013) to $729 million in Q4 2013.

The BFSI sector ranked third in terms of value and volume. The sector witnessed investments worth $88 million from five deals.

Post new comment

E-mail ID will not be published
CAPTCHA
This question is for testing whether you are a human visitor and to prevent automated spam submissions.

EDITORIAL OF THE DAY

  • The sudden rush of new papers could unsettle the secondary market

    While questions are being raised if the party has somewhat overextended on the Street, given the not-too-comforting macroeconomic numbers, retail inve

FC NEWSLETTER

Stay informed on our latest news!

INTERVIEWS

GV Nageswara Rao

MD & CEO, IDBI Federal Life

Timothy Moe

Goldman Sachs

Chander Mohan Sethi

CMD, Reckitt Benckiser India

COLUMNIST

Arun Kumar Jain

Why manufacturing needs innovation

Prime minister Narendra Modi’s call of “come — make in ...

Kuruvilla Pandikattu SJ

Warren Buffett’s key to happiness

Despite being the second richest American, Warren Buffett still lives ...

Gautam Gupta

In fashion, why quality must exceed quantity

Every time there’s a fashion week in India, my friends, ...

INTERVIEWS

William D. Green

Chairman & CEO, Accenture