Deal Value In India Nearly Doubles To $157.9 Billion In 2025, IPO Activity Remains Robust

(MENAFN- IANS) New Delhi, Jan 2 (IANS) Dealmaking in India delivered a breakout year in 2025, with deal value nearly doubling to $157.9 billion, up 91 per cent from 2024 and reaching a three‐year high, while number of announced deals edged past last year's all-time high by 0.7 per cent, a report showed on Friday.

The surge was driven by major domestic spin‐offs, buybacks, consolidation across core industries, and sustained cross‐border interest. Industrials, Energy and Power, Financials and High Technology accounted for 70.5 per cent of overall value, each posting sharp year‐on‐year gains, according to the data shared by LSEG (London Stock Exchange Group).

“With a robust 2026 IPO pipeline, strong domestic liquidity, sustained investor demand, and supportive regulatory reforms, India is poised to remain one of the most attractive markets for equity issuance in the year ahead,” said Elaine Tan, Senior Manager, Deals Intelligence.

Industrials jumped 221 per cent to $35.4 billion, Energy and Power rose 190 per cent to $28.9 billion, Financials climbed 152 per cent to $27.0 billion, and High Technology doubled to $19.9 billion.

Current activity and top deals point to several key themes including pure‐play spin‐offs, sustained interest in financial services, accelerating energy‐transition activity, and AI‐driven tech consolidation-positioning the market for an opportunity‐rich M&A momentum heading into 2026, Tan noted.

India's equity capital markets remained among the world's most active. IPO activity, however, delivered one of their strongest years on record in 2025 as issuers raised $21.8 billion, up 6.5 per cent from a year ago, and the highest annual total since records began in 1980s.

Number of IPOs grew 9 per cent year-on-year, marking the busiest year since the IPO frenzy during the mid-90s, supported by several large offerings such as Tata Capital ($1.75 billion), HDB Financial ($1.46 billion), and LG Electronics India ($1.3 billion).

Capturing 15 per cent of global IPO proceeds, Indian exchanges ranked as the second‐largest IPO venue globally, behind the United States, Tan said.

While follow‐on offerings fell 32 per cent from last year's block‐driven high, it still delivered the second‐strongest annual total since records began in 1980, led by State Bank of India's $2.9 billion equity offering via QIP, said the report.

India investment banking activities earned $1.47 billion in estimated fees in 2025, up 8 per cent compared to the same period last year. This is the highest annual fee total since records began in 2000.

Morgan Stanley takes the top position for overall investment banking fee ranking in India with a total of $110 million, accounting for 7.5 per cent wallet share of India's investment banking fee pool, said the report.

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