New Delhi, Jan 2 (NationPress) The year 2025 marked a significant turning point for dealmaking in India, with total deal value soaring to $157.9 billion, representing a remarkable 91% increase from 2024, thus achieving a three-year peak. The total number of deals announced surpassed the previous year's record by 0.7%, according to a report released on Friday.

This surge in deal activity was fueled by major domestic spin-offs, strategic buybacks, consolidation within essential industries, and a persistent interest from foreign investors. Key sectors such as Industrials, Energy and Power, Financials, and High Technology contributed to 70.5% of the overall deal value, each witnessing substantial year-on-year growth, as per data from LSEG (London Stock Exchange Group).

“With a robust 2026 IPO pipeline, sustained domestic liquidity, and ongoing investor enthusiasm along with favorable regulatory reforms, India is set to continue being one of the most appealing markets for equity issuance in the upcoming year,” remarked Elaine Tan, Senior Manager at Deals Intelligence.

The Industrials sector surged by 221% to $35.4 billion, while Energy and Power increased by 190% to $28.9 billion. Financials grew by 152% to $27.0 billion, and High Technology achieved a doubling, reaching $19.9 billion.

Current activity and significant deals highlight various themes, such as pure-play spin-offs, continued interest in financial services, rapid energy transition efforts, and AI-driven technology consolidation—setting the stage for an opportunity-rich M&A environment as we head into 2026, according to Tan.

India's equity capital markets remained among the most vibrant globally. The IPO space, in particular, recorded one of its strongest performances ever in 2025, with issuers raising $21.8 billion, up 6.5% from the previous year, marking the highest annual total since the 1980s.

The number of IPOs increased by 9% year-on-year, making it the busiest year since the IPO boom of the mid-90s, bolstered by several large offerings including Tata Capital ($1.75 billion), HDB Financial ($1.46 billion), and LG Electronics India ($1.3 billion).

Indian exchanges captured 15% of global IPO proceeds, ranking as the second-largest IPO venue worldwide, only behind the United States, as stated by Tan.

Although follow-on offerings saw a decline of 32% from last year's peak driven by block trades, it still recorded the second-strongest annual total since the 1980s, led by State Bank of India’s $2.9 billion equity offering via QIP, according to the report.

Investment banking activities in India earned an estimated $1.47 billion in fees in 2025, marking an 8% increase compared to the previous year, which is the highest annual fee total since records were initiated in 2000.

Morgan Stanley topped the overall investment banking fee rankings in India, earning $110 million, representing a 7.5% market share of India's investment banking fee pool, as noted in the report.