Friday, 20 April 2018

PE investments soar 76% to USD 4 bn in Mar qtr-The Total Investment & Insurance Solutions

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20 April  2018


PE portfolio(The Total Investment & Insurance Solutions)


PE investments witnessed a robust 46 per cent jump in deal values at USD 1.3 billion in March, taking the total tally for the first quarter of 2018 to USD 4 billion, up 76 per cent over the same period a year ago, says a report.

According to assurance, tax and advisory firm 
Grant Thornton, there were 59 PE transactions worth USD 1.3 billion in March this year, while in the corresponding period last year it stood at USD 888 million by way of 70 deals.

In the January-March quarter, there were 205 PE transactions worth USD 4.0 billion; while in the same period a year ago, 196 deals involved USD 2.27 billion.

The uptick in deal tally was largely owing to big ticket investments, the report said, adding that eight transactions garnered USD 100 million and above and 11 investments attracted funds in the range of USD 50-99 million each in this quarter, together contributing 70 per cent of PE investment values.

In line with the trends in the last 17 quarters, this quarter was also dominated by investments in startups which contributed to 56 per cent of total investment volumes garnering USD 679 million, the report said.

Fintech attracted significant attention from investors with 20 deals followed by enterprise application and infrastructure and health tech segments.

In the January-March quarter, 
Bigbasket raised its largest fund till date in its Series E funding worth USD 300 million, Swiggy raised its biggest-ever funding round with USD 100 million as part of its Series F funding, Udaan raised USD 50 million, Pepperfry garnered USD 39 million.

Going ahead the deal outlook looks bullish.

"Real estate, start-ups with focus on fintech and foodtech and e-commerce companies are expected to be the sectors of interest for the PE / VC fraternity," Grant Thornton India LLP Director 
Pankaj Chopda said.

Chopda further noted that consolidation of PE portfolio companies followed by follow on funding to improve market penetration and position are the expected trends in PE/VC transactions.The Total Investment & Insurance Solutions

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