India’s dealmaking landscape showed resilience in the first half of 2025, with total deal value rising 2 percent from the second half of 2024 to reach $50 billion, according to a report by Ernst & Young. The uptick in value came despite a 12 percent decline in deal volume, which fell to 1,285 transactions, indicating a strategic shift toward fewer but higher-value deals.
Compared to the first half of 2024, deal value was down 17 percent, yet June emerged as the strongest month with $8.4 billion in value, marking a 104 percent increase over May. However, June also recorded the lowest monthly transaction count in six months at 136 deals, representing a 46 percent year-over-year decline.
The report noted a clear investor preference for scale and quality, with 10 deals exceeding the billion-dollar mark in H1 2025—double the number seen in each half of 2024. The absence of marquee transactions pointed to a phase of consolidation and strategic capital deployment.
The power sector led mergers and acquisitions with $8.5 billion in deal value, of which renewable energy accounted for 80 percent. While renewable deal value declined from $3.2 billion in H1 2024 to $2.8 billion in H2 2024, the sector continues to attract significant foreign direct investment, with over $4 billion received last year.
India’s position as the fourth-largest renewable energy market is driving investor interest. With rising demand, strong government support, and innovative financing models, the country is accelerating its energy transition. Opportunities in electric mobility, biofuels, and green hydrogen are expected to attract over $1 trillion in global investment, according to the report.
