PE/VC investment activity in India reached US$5.7 billion across 99 Deals in August 2026: EY-IVCA Report

• Buyout investments (US$3.6 billion) accounted for the largest share of PE/VC investments, followed by start-up investments (US$1.2 billion)
• PE/VC exits in August 2026 were at US$4.5 billion, a 129% decrease y-o-y (in value terms) and recorded highest numbers of exits in a month (41 exits)
• Infrastructure was the top sector in August 2026, recording US$1.8 billion, followed by healthcare (US$1.6 billion)

Mumbai, 29th September 2026: According to the EY-IVCA monthly PE/VC roundup, private equity and venture capital investments in India were up by 32% in August 2026 compared to July 2026 in value terms (US$4.4 billion).

Vivek Soni, Partner and National Leader, Private Equity Services, EY India said, “August 2026 recorded US$5.7 billion in PE/VC investments, 98% higher than investments in August 2025 (US$2.9 billion) and 32% higher than in July 2026 (US$4.4 billion). The number of deals in August 2026 was 18% lower year-on-year (99 deals in August 2026 vs. 121 deals in August 2025).

Pure-play PE/VC investments in August 2026 (US$3.1 billion) increased by 39% compared to August 2025 (US$2.2 billion). The real estate and infrastructure asset class increased by 297% (US$2.6 billion in August 2026 vs. US$665 million in August 2025). Compared to July 2026, pure-play PE/VC investments were up by 20% (US$2.6 billion), and real estate and infrastructure investments were up by 49% (US$1.8 billion). In terms of the number of deals, pure-play investments and real estate and infrastructure deals declined year-on-year by 16% and 29% respectively.

In August 2026, buyout investment deals emerged as the highest at US$3.6 billion, followed by start-up investments at US$1.2 billion. From a sector point of view, infrastructure was the top sector in August 2026, recording US$1.8 billion in investments, followed by healthcare (US$1.7 billion).

PE/VC exits stood at US$4.5 billion across 41 exits in August 2026, 129% higher than in August 2025 (US$1.9 billion). August 2026 recorded highest number of exits so far (41 exits). Open market exits accounted for 79% of the total exit value in August 2026 (US$3.5 billion), followed by PE-backed IPOs (US$512 million).

August 2026 recorded total fundraises of US$1.5 billion (across 14 fundraises), compared to US$1.1 in August 2025 (across nine fundraises) and US$2.5 billion (across eight fundraises) in July 2026.

With the US monetary policy expected to remain restrictive, FII inflows could come under pressure and contribute to currency volatility. Continued geopolitical uncertainty in West Asia may contribute to volatility in energy prices. Against such a backdrop, PE/VC investors are likely to remain selective.

Domestically, Indian equity markets have undergone a period of consolidation, with select small and mid-cap segments witnessing more pronounced corrections than large-cap indices. Despite that, fund raising on the Indian stock markets continues to be robust, keeping exit routes open for PE/VC investors. This together with significant uninvested private capital, improving earnings visibility across several sectors, and more realistic valuation expectations are beginning to narrow the gap between buyer and seller expectations.  As a result, deal activity could strengthen over the coming quarters, particularly for high-quality assets with strong growth fundamentals. We remain cautiously optimistic about the deal environment.”

Investments

PE/VC investments in August 2026 reached US$5.7 billion, marking a 98% year‑on‑year (y‑o‑y) increase from August 2025 (US$2.9 billion) and 32% month‑on‑month (m‑o‑m) increase from July 2026 (US$4.4 billion). The number of deals decreased to 99 in August 2026, representing an 18% y‑o‑y decrease from August 2025 (121 deals) and a 14% m‑o‑m decrease compared to July 2026 (115 deals).

July 2026 recorded 11 large deals totaling US$4.5 billion, reflecting a 293% increase in value compared to August 2025 (US$1.1 billion across six large deals) and a 48% increase compared to July 2026 (US$3.0 billion across 11 deals). Large deals accounted for 78% of overall PE/VC investments in August 2026. The largest deal of the month was KKR’s acquisition of Medicover for US$1.4 billion.

Buyout investments accounted for the largest share of PE/VC activity in August 2026, with US$3.6 billion deployed, a 4,170% increase in value compared to August 2025 (US$85 million). Start-up investments ranked second, with US$1.2 billion invested—an increase of 8% from US$1.1 billion in August 2025. Growth investments recorded US$606 million, 54% lower than the amount recorded in August 2025 (US$1.3 billion). PIPE investments followed with US$195 million, a 7% increase y-o-y (US$183 million in August 2025). Credit investments stood last with US$121 million, a decrease of 41% compared to August 2025 (US$205 million).

From a sector perspective, infrastructure led in August 2026 with US$1.8 billion, followed by healthcare with US$1.7 billion and real estate with US$806 million. Together, these sectors accounted for 75% of overall PE/VC investments in August 2026.

Exits

August 2026 recorded 41 exits worth US$4.5 billion compared to US$1.9 billion across 18 exits in August 2025 and US$1.6 billion across 17 exits in July 2026. August 2026 recorded highest number of exits so far. (The deal values were not available for seven of the 41 exits recorded in August 2026.)

Open market exits were highest in August 2026, totaling US$3.5 billion across 23 exits, accounting for 79% of the total exit value.

The largest exit in August 2026 was TPG selling its 7% stake in Aster DM Quality Care Limited for US$466 million.

Fundraise

August 2026 recorded total fundraises of US$1.5 billion (across 14 fundraises), compared to US$1.1 in August 2025 (across nine fundraises) and US$2.5 billion (across eight fundraises) in July 2026.

Accel India’s fundraise of US$550 million for its ninth early-stage focused VC fund was the largest fundraise of the month. It will continue to focus on investments in deep tech, manufacturing and AI.