Rise of private capital investments into companies through mergers, acquisitions and buyouts is making private equity (PE) firms an attractive business opportunity for India’s software service providers for growth and revenue diversification.

With global PE dry powder exceeding $2 trillion and deal activity rebounding in key sectors like healthcare, insurance, and technology, this has turned into a lucrative market for IT services firms, according to US-based research and analyst firm Everest Group.

If tech companies like Hexaware, Happiest Minds and GlobalLogic are lining up specialised solutions for PE players, larger players like TCS and Wipro see PE firms as customers for their generative artificial intelligence (genAI) offerings.