2024: A Year of Mixed Fortunes for PE-VC Investments in India

Calendar year 2024 concluded with private equity - venture capital (PE-VC) investments amounting to $31.1 billion in India, marking the lowest since CY2019. This represented a 5.5% decrease from the $32.9 billion recorded in CY2023, positioning it as the second lowest in the past six years. Despite this, the number of deals surpassed 1,000, up from 993 in the previous year, excluding investments in the real estate sector.

December's Investment Landscape

As of December 27, 2024, December recorded investments of $2.2 billion, according to data released by research firm Venture Intelligence. Arun Natarajan, founder of Venture Intelligence, noted, "There were no major deals in the past four days (Dec 28-31) and henceforth this data is valid for the full month and the year."

Looking Ahead to 2025

CY2024 has signaled a return to stability in PE-VC investments. Natarajan expressed optimism for CY2025, stating, "As long as geo-political events (including currency movements) do not impact our markets adversely, 2024 has set the base for a turnaround." This year was notable for the public market's receptiveness to IPOs of PE-VC backed companies, including startups like Swiggy and Ola Electric, highlighting a positive trajectory for future investments.