Citi Becomes India’s Top Investment Banker with $60 Million in Fees

Citigroup has staged a massive comeback in the Indian financial landscape, leaping from 27th place to the top of the investment banking league tables for the first half of 2026. This dramatic ascent was fueled by a staggering 705% year-on-year surge in fees, signaling a major shift in the country's dealmaking hierarchy.

Citi’s Dominance in M&A Advisory

According to data from LSEG Deals Intelligence, Citigroup earned $60.3 million in fees during the first half of 2026, capturing a 9.8% wallet share of India's total investment banking fee pool. While the overall fee pool shrank by 20% to $614.1 million, Citi’s performance stood in stark contrast to the broader market slowdown.

The bank's primary engine of growth was its dominance in Mergers and Acquisitions (M&A). Citi topped the M&A financial advisory rankings, advising on $30.2 billion worth of announced deals involving Indian entities. This represents a 34.7% market share and a massive 1,047% jump in deal value compared to the previous year, even though it was executed across just eight major transactions.

The first half of 2026 revealed a tale of two markets. While M&A advisory fees grew by 24% year-on-year to reach $265.0 million, the capital markets segments experienced significant contractions. Equity Capital Markets (ECM) underwriting fees fell by 34% to $188.6 million, and Debt Capital Markets (DCM) fees dropped by 49% to $84.2 million.

Elaine Tan, Senior Manager at LSEG Deals Intelligence, noted that while transaction volumes saw an 8% dip, the value of M&A activity rose 31% to $86.9 billion. This trend indicates a market characterized by "fewer but larger transactions," specifically driven by large-scale restructurings, cross-border acquisitions, and domestic consolidation. The materials sector led this charge, accounting for 28% of total value, bolstered by deals like the $20.6 billion Vedanta Aluminium spin-off.

The Competitive Landscape and Sector Specifics

The league tables saw significant movement among other major players:

  • Ernst & Young PLC secured second place with $43.0 million in fees (up 124%).
  • Axis Bank Ltd climbed to third with $38.1 million.
  • Arpwood Capital emerged as a strong new entrant in fourth place with $33.7 million.
  • Jefferies LLC, last year's leader, fell to fifth place as its fees plummeted 60% to $27.9 million.

In the struggling ECM segment, Jefferies managed to lead the bookrunner rankings despite the downturn, underwriting $2.6 billion in equity issuance. Meanwhile, in the Debt Capital Markets (DCM) space, Axis Bank emerged as the leader with a 12.3% market share.

Key Takeaways

  • Citi's Meteoric Rise: Citigroup jumped from 27th to 1st place in India's investment banking rankings, driven by a 705% increase in fees to $60.3 million.
  • M&A vs. Capital Markets: M&A activity is driving the market with a 24% fee growth, while ECM and DCM segments are facing significant declines due to a cooling in capital market issuances.
  • Scale Over Volume: The Indian dealmaking landscape is shifting toward larger, high-value transactions, particularly in the materials, healthcare, and financial sectors.