Investors find their way back to retail and consumer checkout aisle

Valuations normalise, dealmaking surges and investors return to India's consumer sector, with record Q1 activity driven by aspirational demand and demographic tailwinds

India’s retail and consumer sector is buzzing again, recording its highest deal activity in three years in the first quarter (Q1) of 2025. Deal value rose to $5.7 billion, up 26.6 per cent from Q1 of 2023, while deal volume hit 289 transactions — a 41.6 per cent jump, according to Bloomberg data. 

 

Experts say that after a period of capital market frenzy and sky-high valuations that made private deals challenging, rationalisation is bringing investors back. Private equity (PE) firms, conglomerates, and strategic buyers are now eyeing opportunities to plug portfolio gaps, tap rising aspirational demand, and build on