Carlyle doubles down on investments in India, catching up with China

“In India, investment amounts and momentum are now getting closer to China for Carlyle,” XD Yang, Asia chairman of the private equity firm, said in an interview. “It has a lot to do with India’s growth, its scale. And its opportunities.”

The US private equity firm said it has appointed Amit Jain, former senior managing director of Blackstone Inc., as managing director and co-head of Carlyle India. According to a statement, the Mumbai-based executive will lead the investment team and oversee its strategy across various sectors. He will be joined by the current co-head of India, Neeraj Bhardwaj.

Carlyle is doubling down on India, as global companies become more cautious on China as tighter regulation of the country’s industries slows bargaining. Yang said the investment firm, which manages $293 billion in assets, is diversifying into consumer sectors by investing in financial services, a key addition to the health care team due to its growing contribution to the economic growth of India and China. Focus is on.

Carlyle, one of the earliest foreign investors in India, has invested and committed more than $5.5 billion in 44 investments to date, and is eyeing opportunities ranging from healthcare to industrial, consumer and information-technology companies. Health care remains an area of ​​focus in Asia, where the firm has invested $2.8 billion over 15 years.

Separately, Carlyle has named Bharadwaj and China’s health care chief Ling Yang as co-heads of health care for Asia Pacific.

India fast

Carlyle’s momentum to invest in India has accelerated as capital flows into the country, leading to regional leaders such as pharmaceuticals. Yang said the firm did not have a dedicated team member for health care coverage, and has hired more than 10 dealmakers with a focus in this area over the past five years, chaired by two partners.

China’s scrutiny of everything from technology to online tutors and real estate fueled a sale that at one point wiped more than $1 trillion from the value of the country’s shares. Data compiled by Bloomberg show that initial public offerings in Hong Kong raised $37.8 billion so far in 2021, behind both the Nasdaq and the New York Stock Exchange as well as Shanghai.

The private equity market in India has been very challenging due to difficulties in exiting through public markets or business sales.

“But it has actually changed dramatically in the last three to four years,” Yang said. “The private equity business in India has really matured, people have come to believe that this is a market you can invest in and exit in significant dollar amounts.”