Private credit investments up 53% in H1 led by SP Group deal

Mumbai: Private credit investments in India rose 53% year on year to $9 billion, or about ₹78,300 crore, in the first half of 2025, led by a record $3.1-billion deal by Shapoorji Pallonji Group company Porteast Investments, an EY report said. Adani Group raised $750 million and GMR Infra Enterprises raised $733 million to refinance their existing debt, while Manipal Education and Medical Group raised $600 million for growth funding, according to EY's latest private credit report.

Bilt Graphic Paper Products raised $360 million and Alaknanda Hydro Power Company raised $236 million. Porteast's refinance deal was the largest-yet private credit transaction in the country.

"While credit growth of scheduled commercial banks (SCB) has been moderating in the past few months, the private credit market has gained strong momentum," said Vishal Bansal, partner, debt and special situations, at EY India. "As public sector banks and NBFCs retreat from large-ticket exposures, private funds are stepping in to fill funding gaps, especially in structured and event-driven opportunities," he added.

Even excluding SP Group's record-breaking deal, deal flow remained robust on the back of stable interest rate expectations and lending gaps in infrastructure and real estate, EY said in its report.