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The Q1 2026 Dealtracker presents an integrated view of dealmaking amid persistent global headwinds, including geopolitical tensions, shifting trade conditions, and currency volatility. Investors and strategic acquirers sustained deal activity across mergers and acquisitions and private capital, with domestic transactions continuing to anchor the quarter. Market participants prioritised focused, incremental decisions over large transformative transactions, reflecting a disciplined approach to deployment. Private capital remained engaged across priority sectors, while capital market activity mirrored heightened volatility and selective participation. Overall, the quarter demonstrated consistent deal volumes, continued preference for scalable and technology‑driven businesses, and continuity in the investment narrative through measured execution and sectoral intent.
India’s dealmaking environment in Q1 2026 recorded 710 deals aggregating USD 20 billion, representing a 5% sequential increase in volumes, making it the second-highest quarterly deal volume on record after Q4 2025. Total deal values declined 57% quarter-on-quarter, due to absence of large-ticket transactions.
M&A activity remained the key driver, with 271 deals recorded, marking the second-highest quarterly volumes historically. Three-quarter downward trajectory in deal values continued with sharp fall by 59% QoQ to USD 6.9 billion. While outbound M&A reached record levels with 56 deals valued at USD 3.9 billion, Inbound activity, however, dropped to its lowest level since Q3 2023, reflecting the impact of the current global backdrop.
Private equity sustained overall momentum, with 415 deals while deals values declined primarily due to absence of big-ticket deals. Notably, the quarter saw the emergence of three new unicorns, compared to none in the same period last year.
Retail & Consumer led deal volumes with a 21% share, followed by Pharma (11%) and Manufacturing (10%). In value terms, IT & ITeS dominated with 22% share, followed by Energy (14%) and Media & Entertainment (13%), reflecting sustained investor preference for scalable, technology-driven businesses and energy transition themes.
The Real estate sector exhibited a divergent trend, with deal volumes increasing 67% month-on-month, while values declined 15%. Despite the value moderation, the sector recorded two high-value transactions totaling USD 186 million, including an insolvency-led acquisition by the Amtek Group of the Supertech ORB project.
Banking & Financial Services retained its position as the third-largest contributor by value, recording 21 deals totaling USD 728 million, reflecting steady capital inflows.
India's real estate industry recorded stronger transaction activity during the quarter. Domestic activity, capital market fundraising and investor interest in income-generating assets continued to support market activity.
The consumer and retail sector witnessed sustained investment interest as businesses strengthened category leadership, expanded portfolios and pursued differentiated growth opportunities.
The April edition of the Monthly Dealtracker presents a consolidated view of transaction activity across mergers and acquisitions, private equity and public markets.
