Home breadcru News breadcru Announcement breadcru Renewed thrust in Indian consumer, retail sector in Q3: Grant Thornton

Renewed thrust in Indian consumer, retail sector in Q3: Grant Thornton

28 Oct '25
2 min read
Renewed thrust in Indian consumer, retail sector in Q3: Grant Thornton
Pic: Shutterstock

Insights

  • India's consumer and retail sector saw renewed momentum in Q3 2025, with strategic capital allocation across textiles and e-commerce, Grant Thornton Bharat said.
  • Deal-making surged sharply, with volumes reaching their second-highest level.
  • M&A volumes held steady compared to Q2 2025.
  • Activity was led by strategic plays in textiles and apparel, and select deals in retail tech and consumer durables.
India’s consumer and retail sector demonstrated renewed momentum in the third quarter (Q3) this year, with strategic capital allocation across textiles and e-commerce sectors, according to Grant Thornton Bharat.

Investment flows reflected a shift toward scale-driven transactions and differentiated business models, supported by festive demand and operational efficiencies, the UK-based multinational professional services company said in its Q3 2025 edition of the Consumer and Retail Dealtracker.

The report highlights the return of outbound mergers and acquisitions (M&A), larger private equity rounds and selective public market fundraising.

It outlines how investor confidence translated into targeted plays across premium apparel, omni-channel platforms and tech-enabled consumer services.

Deal-making surged sharply, with volumes reaching their second-highest level on record. The only quarter to surpass it was Q1 2025, which saw 140 deals valued at $4 billion. Transaction values in Q3 2025 rose nearly four-fold compared to Q2 2025. When measured against Q3 2024, deal volumes increased by 6 per cent, while values improved by 9 per cent, a release from the company said.

M&A volumes held steady compared to Q2 2025, while values surged significantly, signalling the return of larger transactions. Activity was led by strategic plays in textiles and apparel, and select deals in retail tech and consumer durables. Domestic deals led both volumes and values, with a 79 per cent and 64 per cent share respectively.

Private equity flows strengthened, with stable volumes while values doubling quarter on quarter. Investors backed textiles and apparel, e-commerce and consumer services.

The report states that private equity and venture capital activity saw 97 deals worth $1.3 billion in the quarter, more than doubling in value from the prior quarter.

ALCHEMPro News Desk (DS)

Get Free Weekly Market Insights Newsletter

Receive daily prices and market insights straight to your inbox. Subscribe to AlchemPro Weekly!