- Private equity and M&A activity in consumer sectors continues to surge as investors bet on India’s consumption-driven growth
Mumbai, May 12, 2025 — Private equity (PE) activity in India’s consumer-facing sectors rose 38% in calendar year 2024, with the number of deals increasing to 232 transactions, up from 168 in 2023, according to data from Equirus Capital. This surge underscores growing investor confidence in India’s expanding middle class and rising domestic consumption.
“Deal momentum has continued strongly in 2025, with 81 PE deals closed in Q1 alone,” said Bhavesh Shah, Head – Investment Banking, Equirus Capital. “Investor interest has spanned sub-sectors including packaged foods, fashion, online grocery, fresh milk delivery, and personal care.”
Investment values have also surged, with ₹124 billion deployed in Q1 2025, more than half of the ₹230 billion invested across all of 2024. “This trend confirms that India’s consumer story is firmly in focus for both domestic and global investors,” Shah added.
The M&A landscape in the consumer sector has also seen a sharp uptick. The number of
deals rose 37% year-on-year, from 54 in 2023 to 74 in 2024. The momentum has accelerated in 2025, with 46 M&A deals completed in just the first quarter, indicating a potentially record-breaking year.
“India’s transition to a Viksit Bharat, supported by rising income levels and the government’s Sabka Saath, Sabka Vikas vision, ensures that consumer sectors are uniquely positioned to benefit from this growth, both structurally and sentimentally,” Shah noted.
Among recent headline deals, Adani Wilmar’s acquisition of G.D. Foods Manufacturing, known for its Tops brand of sauces and pickles, highlights the strategic interest in Indian FMCG players.
In contrast, public market activity remains subdued. Equity capital raised by consumer-facing companies in Q1 2025 totalled just ₹5 billion, sharply lower than the 121% year-on-year increase seen in 2024 to Rs 422 billion.
About Equirus: Equirus Group is a leading full-service financial services firm specializing in investment banking, institutional securities, wealth management, portfolio management, HNI broking, and insurance solutions. With a “client always first” approach and a proven track record of delivering value creation, Equirus has built impeccable credentials across domains and sectors. Equirus has completed more than 295+ transactions across M&A, PE, IPOs, QIPs, Rights Issues, and Structured Finance, raising USD 13 billion in the process across sectors over the last 17 years, and has created a differentiation for itself through its ability to structure and deliver transactions in line with the client’s requirements.
