Temasek To Pump $3-4 Bn In India In FY26

Singaporean sovereign wealth fund Temasek reportedly plans to invest between $3 Bn to $4 Bn in India in the ongoing fiscal year (FY26). 

Temasek India’s managing director Vishesh Shrivastav told PTI that the quantum of the capital is in line with the target set by the investment firm three years ago. In 2023, Temasek outlined its goal of investing up to $10 Bn in India over a three-year horizon. 

While noting that the opportunities Temasek sees in India right now are in sync with its guidance three years ago, Shrivastav added that the investment firm has invested $6 Bn in the country in the past two years.

“We invested $3 Bn each over the last two years, and see a pipeline of at least $3 Bn to $4 Bn this year,” Shrivastav reportedly said. He, however, clarified that all the deals in the pipeline may not materialise as there are aspects such as competition to “contend with”.

Shrivastav also reportedly said that the Singaporean investment company’s “mark-to-market” India exposure, including the indirect one to Airtel, has grown to $50 Bn from $35 Bn a year ago. In essence, Temasek’s assets under management (AUM) now stand at $50 Bn. 

On the firm’s investment thesis in India, Shrivastav said that areas such as digitisation, increasing lifespans, consumption and sustainable living were the “prime focus areas” for Temasek going forward. He also added that the investor is also “keen to scout for opportunities” in the areas such as foodtech, artificial intelligence (AI)-aligned and industrials. 

However, he clarified that detailed diligence and corporate governance were key aspects for Temasek while investing in companies. 

He also called the country as the best-performing market for Temasek globally, adding that the investment firm was expecting some of its portfolio companies to list on the exchanges in the next few quarters, without disclosing any names. 

That said, Temasek has previously invested in big names in the Indian startup ecosystem including the likes of Lenskart, Rebel Foods, Atomberg and upGrad, among others. It made healthy returns from sale of its stakes in listed sectoral giants like insurtech platform Policybazaar’s parent entity PB Fintech, Foodtech major Eternal, Ola Electric, and more.

On top of that, many of its portfolio startups like Pine Labs and Curefit, are also eyeing a listing on the bourses soon. However, many of its bets haven’t successfully panned out. Its portfolio companies like Unacademy and Fi Money have been facing challenges and growth headwinds.