PE/VC investments in India reachUS$2.7 billion across 83 Deals in April 2026: EY-IVCA Report

• Growth investments lead activity: US$1.4 billion deployed, emerging as the largest deal category
• PE/VC exits in April 2026 were at US$730 million, a 18% increase y-o-y
•  Infrastructure continues to be a key focus area for private equity, attracting the highest investments since 2021

Mumbai, 25th April 2026: According to the EY-IVCA monthly PE/VC roundup, private equity and venture capital investments in India decreased by 51% in month-on-month in value terms.

Vivek Soni, Partner and National Leader, Private Equity Services, EY India said, “April recorded US$2.7 billion in PE/VC investments, marking a 49% year‑on‑year decline from US$5.3 billion in April 2025 and a 51% month-on-month drop compared to US$5.5 billion in March 2026. It is also the lowest monthly PE/VC investment value in past 29 months. Deal activity also weakened, falling to 83 transactions in April 2026, down 38% from 134 deals a year earlier and 37% from 131 deals in March 2026.

Pure‑play PE/VC investments in April 2026 (US$1.8 billion) declined by 23% compared to April 2025 (US$2.3 billion). Investments in the real estate and infrastructure asset class decreased by 69% to US$929 million in April 2026 from US$3 billion in April 2025. Compared to March 2026, pure‑play PE/VC investments were down by 53% from US$3.8 billion, while real estate and infrastructure investments declined by 46% from US$1.7 billion. In terms of the number of deals, pure‑play investments decreased by 33% year‑on‑year, real estate and infrastructure deal volume was down by 55% year‑on‑year.

In April 2026, growth deals led the PE/VC activity at US$1.4 billion, followed by start-up investments at US$756 million. From a sector perspective, real estate was the top sector recording US$699 million in investments, followed by financial services (US$440 million).

PE/VC exits stood at US$730 million across 15 deals in April 2026, 18% higher than in April 2025 (US$619 million). Secondary exits accounted for 59% of the total exit value (US$430 million).

The infrastructure sector has remained a top focus for private equity, attracting the highest level of investment over the past five years (since 2021). It accounted for 17% of total PE/VC investments during this period. Within the sector, renewables attracted the highest investment, followed by roads and highways. Please refer to the spotlight section for more details.

The depreciation of the Indian Rupee to around INR 96/USD, coupled with persistently high crude oil and gas prices amid geopolitical tensions is weighing on foreign investor sentiments. Corporate Inc.’s Q4 FY26 earnings have so far been mixed and with pump fuel prices and cost of imported goods going up, inflation and interest rate curves are expected to inch northwards. Further, the bid-ask spread between investor valuations and seller expectations continues to remain wide. As a result, despite significant dry powder available with PE/VC funds, investors are going slow, seeking clearer signs of sustained economic momentum and some correction in valuations. With these headwinds, in our view the near-term outlook for PE/VC investments remains cautious, However, the medium- to long-term outlook for India continues to be positive, supported by strong macroeconomic fundamentals and its secular long-term growth story.”

Investments

PE/VC investments in April 2026 reached US$2.7billion, marking a 49% year‑on‑year (y‑o‑y) decrease from April 2025 (US$5.3 billion) and a 51% month‑on‑month (m‑o‑m) decrease from March 2026 (US$5.5 billion). The number of deals decreased to 83 in April 2026, compared to 134 deals in April 2025 and 131 deals in March 2026.c

April 2026 recorded nine large deals totaling US$1.7 billion, reflecting a 56% decline in value compared to April 2025 (US$3.8 billion across 11 large deals) and a 55% decline compared to March 2026 (US$3.7 billion across seven deals). Large deals accounted for 62% of overall PE/VC investments in April 2026. The largest deal was ICICI Prudential Alternatives investing US$283 million in two RMZ office assets in Bengaluru and Pune (EcoWorld 21 and RMZ Edge).

Growth investments accounted for the largest share of PE/VC activity in April 2026, with US$1.4 billion deployed, a 66% increase in value compared to April 2025 (US$816 million). Start-up investments ranked second, with US$756 million invested—a decrease of 57% from US$1.8 billion in April 2025. Credit investments recorded US$299 million, 82% lower than the amount recorded in April 2025 (US$1.7 billion). Buyout investments reached US$283 million in April 2026 compared to US$150 million in April 2025. PIPE deals were the smallest segment at US$21 million, 98% lower than the value recorded in April 2025 (US$914 million).

From a sector perspective, real estate led in April 2026 with US$699 million, followed by financial services with US$440 million and technology with US$361 million. Together, these sectors accounted for 55% of overall PE/VC investments in April 2026.

PE/VC trends in the infrastructure sector:

Since 2021, the infrastructure sector has been the largest sector for PE/VC investments, with US$54.2 billion invested across 435 deals and accounting for 17% of overall PE/VC investments since 2021.. We expect this trend to continue in the second half of the year, as the infrastructure deal pipeline remains strong.

The sector has seen a significant increase in large deals and recorded US$46.8 billion across 117 large deals—86% of overall investments within the sector in value terms since 2021. The year 2023 recorded the maximum number of large deals (i.e., 33), followed by 2024 (24 deals) and 2025 (21 deals). Notably, the sector recorded six mega deals (deals greater than US$1 billion) since 2021.

PE/VC activity was predominantly observed in renewables and roads and highways, cumulatively accounting for 57% of overall investments in the infrastructure sector since 2021 (US$20.8 and US$10.3 billion respectively). In terms of the number of deals, renewables recorded the maximum number of deals, i.e., 172 deals (40% of overall deals).

Credit and buyouts have been the most preferred strategies, accounting for 57% of the overall investment in the sector, with each accounting for more than US$15 billion (Credit: US$15.5 billion and buyout: US$15.3 billion).

Exits in the infrastructure sector in the past five years (since 2021) were dominated by a couple of large exits to strategics. The sector saw exits worth US$18.9 billion across 81 exits, of which 74% of the exits are from strategic exits (US$14 billion across 24 exits).

The infrastructure sector is emerging as one of the most compelling investment themes, driven by structural demand. PE/VC investments are being fueled by a strong pipeline of government-backed assets, rapid urbanization, population growth, and the global transition toward sustainable energy. These trends have significantly increased demand across core infrastructure segments such as renewables, roads and highways, power transmission and digital infrastructure. As asset platforms in EPC, roads and clean energy mature, investors are increasingly attracted to the sector’s stable, long-duration cash flows, predictable returns, and clear exit visibility through instruments such as InvITs, secondary transactions and strategic stake sales.

With infrastructure spending forming the backbone of economic growth and competitiveness, the sector is poised for sustained expansion, making it a key area of opportunity for both domestic and global investors in the years ahead.

Exits

April 2026 recorded 15 exits worth US$730 million compared to US$619 million across 16 exits in April 2025 and US$2.5 billion across 17 exits in March 2026. (The deal values were not available for five of the 15 exits recorded in April 2026.)

Secondary exits were highest in April 2026, totaling US$430 million across four exits, accounting for 59% of the total exit value.

The largest exit in April 2026 was CapitaLand selling its stake in International Tech Park Chennai for US$326 million.

Fundraise

April 2026 recorded total fundraises of US$646 million (across six fundraises), the lowest monthly figure since December 2024. It also witnessed a 62% month-on-month decline compared to US$1.7 billion (across seven fundraises) in March 2026 and a 41% year-on-year decline compared to US$1.1 billion (across five fundraises) in April 2025.

The largest fundraise of the month saw Circulate Capital raise US$220 million as part of its first close of Circulate Capital Asia II Fund. The new fund will be utilized as growth capital to scale circular supply chains and recycle businesses across South and Southeast Asia.

Notes to Editors

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About IVCA

The Indian Private Equity & Venture Capital Association (IVCA) is the apex body promoting the Alternative Investment Funds (AIFs) in India and promotes stable, long-term capital flow (Private Equity (PE), Venture Capital (VC) and Angel Capital) in India.

With leading VC/ PE firms, institutional investors, banks, corporate advisers, accountants, lawyers, and other service providers as members, it serves as a powerful platform for all stakeholders to interact with each other. Being the face of the industry, it helps establish high standards of governance, ethics, business conduct and professional competence. With a prime motive to support the ecosystem, it facilitates contact with policy makers, research institutions, universities, trade associations and other relevant organizations. Thus, support entrepreneurial activity, innovation, and job creation.