Decline in PE/VC Investments Amid High Valuation Expectations

Private equity and venture capital investments fell to USD 4.7 billion in April 2025 due to heightened uncertainty and high seller valuation expectations. A significant drop from March levels, infrastructure and financial services dominated the sector, but start-ups saw an 80% rise, encouraging cautious optimism.


Devdiscourse News Desk | Mumbai | Updated: 19-05-2025 21:26 IST | Created: 19-05-2025 21:26 IST
Decline in PE/VC Investments Amid High Valuation Expectations
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Private equity (PE) and venture capital (VC) investments in April 2025 decreased to USD 4.7 billion as uncertainty and high valuation expectations of sellers persisted, according to a report.

The Investment deals in April were 6% lower year-on-year and 20% below March's figures. The report, from industry body IVCA and consultancy EY, noted a decline in deal numbers, with April seeing 108 deals, down from 113 a year earlier.

Factors such as government policy, corporate earnings, and reducing global uncertainties could aid recovery in the PE/VC space. Infrastructure led investments with USD 2.4 billion, while start-ups saw an impressive 80% increase, accounting for a major share of activity.

(With inputs from agencies.)

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