India saw a record high of 686 transactions in Q1 2026, marking a 5% increase in deal volumes. However, the total deal values decreased to $16 billion, a 48% drop from the previous quarter. Notably, there were only two billion-dollar transactions totaling $4.1 billion compared to seven such deals worth $15 billion in Q4 2025.
The report from Grant Thornton Bharat highlighted a significant decline in public market fundraising activities. Initial Public Offering (IPO) and Qualified Institutional Placement (QIP) issuances decreased by 63% in volume and 78% in value during the quarter.
Shanthi Vijetha, Partner, Growth at Grant Thornton Bharat, emphasized the resilience of India’s dealmaking activity despite global uncertainties. While deal values moderated due to the absence of large transactions and subdued capital markets, the momentum in outbound M&A, private equity volumes, and the rise of new unicorns indicate sustained confidence in India’s long-term growth prospects.
Mergers and Acquisitions (M&A) activity remained stable in terms of volumes, recording 271 deals worth $6.9 billion in Q1 2026. Domestic transactions accounted for 193 deals valued at $2.7 billion, while outbound deals contributed significantly to the total M&A value.
Private Equity (PE) activity remained robust with 415 deals worth $9.1 billion in the quarter. Investors continued to deploy capital in numerous mid-sized transactions, reflecting a 9% increase in volumes compared to the previous quarter.
