As per a recent report, the Private Equity deals worth USD 1.19 billion has been announced in the 1st quarter itself of FY 2016 giving the sector a jump of 62% as compared to 2015.
Sectors such as Real Estate, IT, ITeS, BFSI, Infrastructure, Pharma & Healthcare, E-Commerce and Logistics are major sectors which are inviting large investment from Private Equities.
Analysis of recent foreign investments in India suggest the almost 50% of the foreign investments is contributed by Private Equity.
PE sector is important for our Indian economy as it is lending support to many new entrepreneurs.
However, the government of India still needs to introduce reforms and policies to regulate and boost the PE sector.
Rising competition and a mismatch in valuation expectations are challenges in the PE space.