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Key Points

India's M&A market is booming with $61.3 billion in deals during the first half of 2025, marking a 50% year-on-year jump. The energy sector dominated with $20.5 billion in transactions, while domestic deals hit record highs at $44.8 billion. Private equity played a major role with investments surging 85.7% to $11.6 billion. The US remained India's top cross-border partner despite inbound M&A hitting a nine-year low.

Key Points: India M&A Hits $61.3 Billion in H1 2025 Highest Since 2022

  • Domestic M&A surges 138% to $44.8B highest since 2022
  • Energy sector dominates with $20.5B in deals
  • Private equity-backed deals jump 85.7% to $11.6B
  • US remains top partner for India cross-border M&A activity
2 min read

India's M&A activity hits $61.3 billion in H1 2025, highest since 2022: Report

India's M&A activity surges 50% to $61.3B in H1 2025 led by energy & domestic deals, reports LSEG

"Energy & Power led the way with $20.5 billion in deals — a more than 16-fold jump from last year - Elaine Tan, LSEG"

New Delhi, July 2

India's mergers and acquisitions (M&A) activity remained strong in the first half of 2025, with total deal value touching $61.3 billion, a new report said on Wednesday.

New Delhi, July 2 (IANS) India's mergers and acquisitions (M&A) activity remained strong in the first half of 2025, with total deal value touching $61.3 billion, a new report said on Wednesday. This marks a 50 per cent jump compared to the same period the previous year and is the highest first-half total since 2022, according to the latest India Investment Banking Review by LSEG.

The report also showed that the number of M&A transactions rose by 9 per cent, signalling continued market momentum.

This growth was driven by domestic consolidation, energy transition efforts, and strategic portfolio realignments.

Financial sponsors played a key role, particularly in sectors like insurance, technology, and healthcare.

Elaine Tan, Senior Manager at LSEG Deals Intelligence, said India's M&A growth is being powered by a mix of factors, including the country's push for renewables and structural changes in key sectors.

"Energy & Power led the way with $20.5 billion in deals -- a more than 16-fold jump from last year," she said.

Investment banking fees from Indian operations reached $653.8 million in the first half of 2025, up 21 per cent from a year ago.

Fees from equity capital market (ECM) underwriting stood at $272.7 million, while debt capital market (DCM) underwriting earned $131.7 million.

Syndicated lending fees surged 66 per cent to $90.1 million, and M&A advisory fees increased 56 per cent to $159.3 million.

Domestic M&A was particularly strong, rising 138 per cent year-on-year (YoY) to $44.8 billion -- the highest since 2022.

Meanwhile, inbound M&A fell to a nine-year low at $10.1 billion, while outbound M&A grew 74 per cent to $5.8 billion.

The United States remained the most active country for both outbound and inbound cross-border deals with India.

Private equity-backed M&A deals reached $11.6 billion, an 85.7 per cent jump from last year.

Among sectors, energy and power led the way with $20.5 billion in deals, making up 33.4 per cent of total activity.

Financials and healthcare followed, contributing $8.8 billion and $6.5 billion, respectively, as per the report.

- IANS

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Reader Comments

A
Ananya R
While the numbers look impressive, I'm concerned about the 9-year low in inbound M&A. Are foreign investors losing confidence in India? The government should analyze this carefully.
S
Siddharth J
The healthcare sector growth is promising! After COVID, we need more investment in medical infrastructure. Maybe this will help reduce our dependence on imported medicines.
P
Priya S
Domestic companies consolidating is good, but we shouldn't ignore the risks of monopolies forming. The competition commission needs to be extra vigilant 👀
M
Michael C
As someone working in investment banking, I can confirm the deal flow has been crazy this year! The 66% jump in syndicated lending fees shows how active the market is right now.
K
Kavya N
Hope these big numbers translate to better opportunities for small businesses too. Sometimes M&A activity only benefits the big players while smaller companies struggle 😕

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