Private equity (PE) and venture capital (VC) investments surged by 54% year-on-year in May, reaching $6.9 billion, according to an EY-IVCA report released on Tuesday.
Pure play PE/VC investments totaled $4.4 billion in May, marking a 47% increase from $3 billion in May 2023 and a 16% rise from April this year. The number of deals also saw a significant jump, with 100 deals in May 2024 compared to 69 deals in May 2023, a 45% increase.
Real estate and infrastructure investments in May 2024 climbed 67% y-o-y to $2.5 billion, compared to $1.5 billion in May 2023. This figure was also 183% higher than April 2024.
Growth investments were the predominant deal type in May 2024, amounting to $2.5 billion and representing 36% of total PE/VC investments. This was followed by buyout investments at $2.3 billion. The real estate sector led in May 2024 with $2.5 billion in investments, followed by financial services with $1.6 billion.
PE/VC exits reached $2.5 billion across 23 deals in May 2024, showing a 21% increase y-o-y. Secondary exits were the highest, totaling $1 billion across five deals.
The infrastructure sector remains a top choice for PE, attracting the highest investments over the last five years. It has been the most preferred sector for PE/VC and sovereign wealth fund (SWF) investors, accounting for 17% of total PE/VC investments in this period. The renewable energy segment received the highest PE/VC investment value, followed by roads and highways.