2024: A Strong Year for PE/VC Exits and Deals In terms of volume alone, exits in 2024 were the second-highest in history; however, there was a 7 per cent decline compared to 2023 (282 deals in 2024 vs. 304 deals in 2023). Exits were valued at USD 24.9 billion in 2023 and USD 18.3 billion in 2022.
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Private Equity/Venture Capital (PE/VC) exits worth USD 26.7 billion were recorded in India in 2024, an increase of 7 per cent and 46 per cent than 2023 and 2023 respectively, according to an EY report.
In terms of volume alone, exits in 2024 were the second-highest in history; however, there was a 7 per cent decline compared to 2023 (282 deals in 2024 vs. 304 deals in 2023). Exits were valued at USD 24.9 billion in 2023 and USD 18.3 billion in 2022.
According to the report, open market exits remained dominant and recorded the highest ever exit value worth USD 12.9 billion, which was higher compared to the previous year value of USD 12.8 billion in 2023.
In 2024, private equity backed ipos also recorded the highest growth of 130 per cent y-o-y in terms of value – USD 3.3 billion and recorded 33 per cent higher in terms of number of deals compared to the previous year. It was the only exit segment to grow in terms of volume in 2024– 40 deals compared to 30 deals in 2023.
PE/VC exits were also predominantly concentrated in the financial services sector, technology, e-commerce, pharma, infrastructure, healthcare, real estate, retail, and consumer products, each recording exit values exceeding USD 1 billion. The financial services sector saw a value USD 5.9 billion across 68 deals, a 20 per cent decline compared to 2023. The technology sector exits totaled USD 4 billion across 27 deals, a 53 per cent growth compared to 2023.
Inflection Point Ventures (IPV), one of India's top angel investing platforms, was recently in the news about its 14 successful exits in 2024, achieving an internal rate of return (IRR) of approximately 36 per cent.
IPV has recorded a total of 47 exits from a portfolio of more than 200 startups.
"We focus on identifying and supporting businesses that can scale and generate strong returns," said Vinay Bansal, Founder and CEO of IPV. "Our ability to deliver exits, despite the market slowdown, reflects the strength of our portfolio and the trust we've built with investors and founders alike."
IPV's exit strategy has resulted in exits, with companies like Aksum (52 per cent IRR, 1.55x MoM), Conscious Chemist (54 per cent IRR, 1.45x MoM), and Qubehealth (53 per cent IRR, 4.06x MoM). According to the firm, some exits were structured as blended primary and secondary transactions, delivering 30-40 per cent IRRs with 3-4x returns for investors.
Other notable deals include Singapore's state-owned fund Temasek, acquiring close to 10 per cent stake in Haldiram's, India's largest snack manufacturer for approximately USD 1 billion. The transaction is considered the largest PE consumer deal in the country.
Global PE investor Advent International took an exit from Manjushree Technopack in November 2024. Advent sold its majority stake in the packaging company to a Hong Kong-based alternate investment firm PAG, for a record USD 1 billion, contributing significantly to 2024's PE/VC exits.
