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India’s consumer and retail sector remains a focal point for strategic and financial interest across diverse sub-segments, particularly textiles, apparel, and FMCG. In the second quarter of 2025, transaction activity reflected a measured approach, with emphasis placed on operational efficiency, brand resilience, and responsiveness to domestic demand. Our Consumer and Retail Dealtracker Q2 2025 edition presents a structured overview of mergers, acquisitions, and private equity developments, with particular attention to clean-label FMCG, value fashion, and retail technology. The report outlines how businesses are aligning with investor expectations through integrated models, sustainable practices, and digital scalability.
Q2 2025 recorded 120 deals, marks the lowest quarterly deal values since Q4 2022 due to the absence of high-value deals and limited public market activity. Compared to Q2 2024, deal volumes were up by 26% while values dropped by 58% suggesting a dominance in smaller ticket deals.
M&A volumes witnessed a marginal decline, while values dropped significantly by 90% over Q1 2025. Activity was driven by strategic mid-sized acquisitions in FMCG, health foods, and apparel, with limited cross-border transactions.
PE activity moderated from Q1 highs, with deal volumes dropping by 17% (113 to 94 deals) and values marking the lowest since Q3 2022. Investors focused on value fashion, clean-label FMCG, and digital infrastructure, favouring companies with lean models and profitability focus.
Public market fundraising remained subdued, with just USD 35 million raised via one IPO and QIP each, down from USD 219 million in Q1 from just one QIP by Aditya Birla Fashion, reflecting capital market caution and a tilt toward private funding routes.
This quarterly edition offers timely insights for stakeholders evaluating growth opportunities in segments that demonstrate adaptability and long-term relevance.
