Despite significant uncertainty across global markets, US-headquartered private equity (PE) giant General Atlantic continues to bet big on opportunities in India and Southeast Asia — two regions it considers as the bright spots for growth.
“We remain excited about the dynamic and innovative entrepreneurial ecosystem in India and Southeast Asia,” Sandeep Naik, managing director, head of India & Southeast Asia at General Atlantic, told DealStreetAsia in an interview.
“One of the inherent benefits of the growth equity sector is that growth is driven by long-term secular trends, not economic cycles. Secular growth is more insulated from recessions and market leaders have the market power to adjust to inflation,” he added.
The investment firm, which has so far deployed over $4.3 billion in India and Southeast Asia since 1999, is looking to pump in another $2 billion in the region over the next two years.
“In the growth space, we are starting to see passive capital retreating, which is creating attractive entry prices for growth. We see this moment as a significant opportunity to… help entrepreneurs transform or disrupt their industries,” said Naik.
General Atlantic counts firms such as KGBio (Indonesia), VNLife (Vietnam), and Kumu (Philippines) among its portfolio companies in Southeast Asia. It logged all these investments in 2021 alone.
Meanwhile, in India, the PE major made headlines earlier this year for its investments in general insurance startup Acko, ASG Eye Hospitals, and digital healthcare provider Reliance Health.
Edited excerpts from an interview with Naik:
