India's Deal Market Surges to Record High in Q3 CY25, Reaching $44.3 Billion in 999 Transactions

PwC India's Q3 CY25 Deals at a Glance Report The latest PwC India report reveals a significant boom in the country's deal market during the July-September 2025 period (Q3 CY25). India recorded an impressive 999 deals totaling $44.3 billion, marking a substantial increase of 13% in deal volume and 64% in deal value compared to the preceding quarter. This performance represents the strongest quarterly activity observed in the past six quarters.

Mergers and Acquisitions (M&A) were a primary driver of this growth, accounting for 518 transactions valued at $28.4 billion, an 80% surge in value and a 26% rise in volume quarter-on-quarter. On a year-on-year basis, M&A volumes increased by 64% and total value by 32%, supported by domestic consolidation and renewed cross-border interest.

Private Equity (PE) activity remained strong, with 481 deals worth $15.9 billion. This represents a 41% increase in disclosed value and a 1% rise in volume compared to the previous quarter. Compared to the same period last year, PE investments more than doubled in value, with a 121% increase, alongside a 36% rise in deal count, highlighting sustained investor interest in high-growth sectors.

The IPO market witnessed exceptional performance, with 159 new listings in Q3 CY25 – comprising 50 mainboard and 109 SME IPOs. This marks a significant 156% sequential increase from the previous quarter and the highest quarterly tally this year.

PwC India noted that renewed confidence in India's growth story, expanding corporate balance sheets, and a stable macroeconomic environment are driving this increased deal activity. Technology emerged as the leading sector by value, with $13.3 billion across 146 deals, while Retail and Consumer businesses topped in volume with 165 transactions valued at $4.3 billion.

Impact This robust growth in deal-making, M&A, PE investments, and IPOs signals strong investor confidence in India's economic trajectory and its capital markets. It suggests increased liquidity, potential for future economic expansion, and positive sentiment that could benefit listed companies, particularly within the technology and consumer sectors. This trend is likely to attract further domestic and international investment, fostering continued strategic partnerships and business growth. Impact rating: 8/10.

Difficult terms: * Mergers and Acquisitions (M&A): The process where two or more companies combine to form a new entity or one company takes over another. * Private Equity (PE): Investment funds that invest in private companies or engage in buyouts of public companies. * IPO (Initial Public Offering): The first time a private company offers its shares to the public. * Mainboard IPO: IPOs listed on the primary stock exchange board, typically for larger, established companies. * SME IPO: IPOs listed on a separate board for Small and Medium-sized Enterprises, with less stringent listing requirements. * Quarter-on-Quarter (QoQ): A comparison of financial or economic data from one quarter to the next. * Year-on-Year (YoY): A comparison of financial or economic data from a specific period in one year to the same period in the previous year. * Macroeconomic environment: The overall state of the economy, including factors like inflation, interest rates, and economic growth.