Bahren-based Investcorp has already invested US$500 million in 13 companies in India, including online retailer FreshToHome and ASG Eye Hospitals. It also has a $400 million private equity investment fund in India that claims to have the fastest growing startup ecosystem in the world.
Investcorp now intends to invest $400 million in real estate in India over four years, Rishi Kapoor said in an interview at the World Economic Forum in Davos.
The two segments it will focus on will be school infrastructure and the warehousing sector, which is booming thanks to the rapid expansion of e-commerce in the country of 1.4 billion, Kapoor said.
“We have developed a new investment thesis around investing in schools and educational infrastructure,” he said.
“The average Indian parent will tighten their belts on everything but raising their children, so the underlying space is very attractive.”
India is witnessing unprecedented growth in e-commerce and logistics, with companies like Amazon and Walmart’s Flipkart investing billions of dollars.
Another booming sector in India is clean mobility, and Investcorp has said it will seek investment in clean energy and climate technologies, although its plans have yet to be fleshed out.
Investcorp’s previously announced $400 million special fund for private equity investments in India will be used for sectors such as health and wellness and consumer technology, Kapoor added.
“Actually, it’s a good time to deploy capital, we’re looking at a few opportunities now,” he said, but declined to name specific companies.
Global private equity firm General Atlantic told Reuters on Sunday that it plans to spend $2 billion on India and Southeast Asia over the next two years after falling valuations made start-ups in the region more attractive.
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