Q4 PE investment deal value touches $8,451 mn

A sector-wise analysis shows that a total of five PE transactions in the energy and natural resources sector led the value chart.

Illustration: Uttam Ghosh/Rediff.com

Private equity investments worth $ 6,198 million were announced last month, taking the total deal value during the January-March quarter to $ 8,451 million, largely driven by big ticket investments, says a report.

According to Grant Thornton's PE Dealtracker, 69 PE investments worth $ 6,198 million were announced in March, registering a significant jump from $ 1,382 million in the year-ago period.

In January-March period, there were 182 PE deals worth $ 8,451 million, recording a twofold jump in the investment values on account of increased big-ticket deals that saw 11 investments attracting funds in the range of $ 100-500 million.

"PE firms looking for places to park their capital in leverage buyouts will help keep up the deal-making pace," Grant Thornton India LLP Director Pankaj Chopda said adding much of the action is dependent on the policies of the next government.

A sector-wise analysis shows that a total of five PE transactions in the energy and natural resources sector led the value chart.

On the other hand, 118 transactions in the startup and e-commerce sector and 15 transactions in the banking and financial sector, led the PE volume chart.

Canadian investor Brookfield-led India Infrastructure Trust's (InVIT) acquisition of East-West gas pipeline for Rs 13,000 crore was the top PE deal of the January-March quarter.

Other major PE investments during the quarter include Singapore government's investment arm GIC Pte's investment in Bharti Airtel and Brookfield Asset Management-Hotel Leelaventure transaction.

Going ahead, the need for funding for small and medium businesses to fuel growth and availability of transaction structures to monetise capital intensive businesses indicate the opportunity for higher tractions in the PE or VC landscape, Chopda said.