Mumbai: Private equity investment in India jumped 68% in the second quarter of 2007, with the financial services grabbing the lion’s share, an industry tracking firm said on 17 July.
Investment rose to $3.2 billion during April-June, data released by Venture Intelligence showed, from $1.9 billion in the year-earlier period. There were 76 deals in the quarter, up from 67 a year earlier.
The financial services sector accounted for 15 deals worth about $1.3 billion.
The largest was a $767 million investment by Carlyle Group and Citigroup in India’s largest mortgage firm, Housing Development and Finance Corp.
Technology and related sectors had more than 25 deals, but they were worth only $550 million.
Manufacturing did not figure in the top five, Venture Intelligence chief executive Arun Natarajan said.
“We are all puzzled, manufacturing was number-two for a long time until the first quarter of 2007,” he said, adding a third of manufacturing deals had earlier been in the auto parts sector.
Private equity investment in India is expected to touch about $10 billion in 2007.
Investment had more than tripled to $7.46 billion in 2006 from $2.26 billion in 2005.