TLDR:
- Private equity-venture capital investments down by $700 million in May 2024 compared to the previous year.
- $3.2 billion invested in May 2024, with a significant drop on a YTD basis.
Private Equity-Venture Capital (PE-VC) firms saw a decline in investments for the fourth consecutive month in May 2024, recording $3.2 billion, down by $700 million from the previous year. The total investments between January and May 2024 were $11.5 billion, showing a significant drop from the same period in 2023. However, there was a month-on-month rise in investments this year, with notable deals like the acquisition of Healthium Medtech by KKR for $840 million and the investment of $554 million by Warburg Pincus in Shriram Housing Finance. Arun Natarajan, founder of Venture Intelligence, highlighted the increase in investments and volumes when comparing month-on-month data for 2024. He emphasized the confidence of international investors, especially with mega deals like these happening close to the national election results. The rise in funding for unicorn startups like Meesho also points towards a recovery in late-stage tech financing, which had slowed down in the previous years.
