The institutional terms on which capital enters India and the institutional terms on which it exits are not the same architecture; investors who model entry without modelling exit underwrite a different transaction from the one they thought.
India's capital architecture sits across the Foreign Exchange Management Act, the Income Tax Act, the SEBI regulations on listed exits, the RBI framework on outward remittances, the bilateral tax treaty network, the Companies Act provisions on share transfers, and the various scheme-level commitments that travel with PLI, ECMS, or sector-specific incentives. Valuation is not just a price-discovery question; it is also a regulatory question, governed by the FEMA-prescribed pricing guidelines, the income-tax angel-tax architecture, and the SEBI takeover code. The institutional architecture shapes deal terms before, during, and after the transaction; fund principals and M&A advisors navigate from term sheet to repatriation against this geometry, not the price alone.