New Delhi: The total inflow of private equity (PE) money in the Indian retail sector touched a five-year high in 2019. Te total inflow was abut USD 970 million. This figure was just USD 195 million in 2015.
Out of the overall PE investment of USD 5 billion in the India realty market in 2109, retail segment accounted for about 19 percent. This figure was just 7 percent in 2018, according to ANAROCK property consultant.
“Back in 2018, retail inflows stood at a mere USD 355 mn, comprising just 7% share of the total PE funds. In the previous five years, after 2019, year 2017 saw the second-highest PE inflows in retail at USD 890 mn. Interestingly, in 2019, Delhi-NCR received the maximum PE inflows of about USD 610 mn – a massive 63% share of the total retail funds into Indian realty during this period,” said Shobhit Agarwal, MD & CEO – ANAROCK Capital.
Among the cities, Delhi-NCR received the maximum retail-focused PE inflows between 2015-2019 – more than USD 750 million.
Mumbai stood second with USD 410 million funnelled into retail over the last five years.
Pune saw PE inflows of about USD 150 million in retail segment. Bengaluru retail saw total PE investments of USD 275 million since 2015. Hyderabad and Chennai together attracted close to USD 230 million during the same period. Chandigarh was a major funding target for US-based Blackstone which invested USD 340 million in a single large deal in 2017. Ahmedabad witnessed its retail sector draw nearly USD 220 mn in the last five years.