Singapore-based Temasek Holdings is planning to invest three times its usual investments per year in India, provided it finds the right opportunity.
Ravi Lambah, head — investment group and head India, said Teamsek’s portfolio in the world’s fastest-growing economy has done well. “We have been deploying $1 billion every year. In the next three years, we see ourselves upping that to $9 billion,” he told CNBC TV18.
On the valuation drop in digital companies, Temasek maintains there is potential to invest in promising business models. Lambah said, “Intrinsic value test shows many of them are viable, we have done some follow-on in our existing portfolio companies. It’s a reset in valuation, but not a reset in the potential of the business. The potential runway is still long — whether it is e-commerce or fintech, digitisation benefits them all. We are trying to double down on opportunities where potential continues to look good.”
Temasek is said to be investing more in debt-laden PharmEasy and even bringing in strategic investment as part of the deal. “Where we are part of the solution, it means that we believe in the long-term potential of the company. Strategic involvement, M&A and strategic partnership with investors is a theme often repeated in the world and it’s a good thing, actually a marriage that brings different disciplines together.”
Temasek has also increased its investment in Ola Electric and is bullish on the electric vehicles sector. With a large exposure to the financial services sector, it continues to be bullish on the same with a special interest in banks, insurance and fintech. The company also has interest in the telecom space.
Temasek maintains that India investments are in line with its global theme of investing in four trends – future of consumption, life sciences, digitisation and sustainable living.
Temasek, with close to $300-billion net portfolio value globally, is celebrating its 50th year and has seen a 5% decline in its shareholders’ returns in the last fiscal.
Lambah told the channel that aggregation of valuation markdowns across public markets has impacted the performance and said, “Ambiguity, complexity and uncertainty is a new world order and we have to navigate this. It is challenging, but also presents opportunities to deploy funds globally.”