Global growth equity firm General Atlantic plans to invest up to $1 billion in new investments in India, amid the country’s burgeoning digital economy. The company’s CEO, Bill Ford, announced the investment plan during a virtual session at the 2021 India Global Forum, stating that the firm is optimistic about the country’s prospects in the technology sector. The company has already invested $5.6 billion in India over the last two decades.
General Atlantic is looking to invest in companies in areas such as consumer, financial services, healthcare, and technology-enabled sectors. The company is focusing on backing businesses that are led by strong management teams, have a scalable business model, and can leverage technology to create value for customers.
Ford said that India’s digital economy was set to grow rapidly over the next decade and the company was keen to be part of that growth story. He said that the country’s young demographic and increasing internet penetration would be key drivers of this growth.
The investment comes at a time when India’s technology sector is attracting significant attention from investors globally. The country’s digital economy is expected to grow at a compound annual rate of 22.4% between 2020 and 2025, according to a report by the India Brand Equity Foundation.
General Atlantic has already invested in several successful Indian startups, including edtech company Byju’s, fintech company Pine Labs, and cloud communication platform Uniphore. The company has also been involved in several successful exits in the Indian market, including the IPO of e-commerce platform Flipkart and the sale of payment gateway BillDesk.
The company’s investment in India is a testament to the country’s potential as a lucrative market for investors, particularly in the technology sector. General Atlantic’s commitment to investing in Indian companies could also encourage other global investors to follow suit and tap into the country’s growing digital economy.
