New Delhi, Jan 21 (NationPress) Global VC investment surged from $349.4 billion across 43,320 deals in 2023 to $368.3 billion across 35,684 deals in 2024, as quick-commerce continued to be a thriving sector for investments in India during the fourth quarter of last year and is projected to remain robust in 2025, according to a report released on Tuesday.

One of the positive trends in India has been the growing number of tech startups exploring IPO exit avenues — either submitting their listing documents or initiating the process, as indicated by KPMG Private Enterprise’s Venture Pulse.

In recent months, there has been a notable acceptance of these firms by India’s capital markets, stock exchanges, retail investors, and institutional backers.

“With an increasing number of institutional investors participating in IPOs and heightened trading activity, numerous startups are now viewing IPOs as a viable exit strategy,” the report highlighted.

The VC landscape is anticipated to intensify through 2025 in India, featuring more pre-IPO funding rounds, additional IPOs, and an overall increase in exits.

“When comparing year-over-year results, 2024 has outperformed 2023 in terms of VC investment in India — and 2025 may even surpass it,” stated Nitish Poddar, Partner and National Leader, Private Equity, KPMG in India.

“Although Q4 encountered some challenges, we are still witnessing considerable activity in the VC sector, particularly within quick-commerce. Many of these companies have successfully launched IPOs over the past year, instilling confidence in VC investors to pursue bolder investments due to the widening range of potential exit options,” Poddar noted.

On a global scale, an unprecedented number of multi-billion dollar agreements in the AI sector contributed to both the positive Q4 outcomes and the year-over-year growth in VC investments.

Five US-based AI firms secured a combined total of $32.2 billion in Q4. Only two companies outside the AI domain achieved deals exceeding $1 billion during the same period.

“The influx of funding into the AI sector remains impressive,” remarked Conor Moore, Global Head, KPMG Private Enterprise, KPMG International.

“However, VC investors are becoming increasingly selective in backing truly disruptive companies with revolutionary solutions. In a year marked by uncertainty and somewhat subdued deal-making, AI has emerged as the undeniable superstar,” Moore added.