Holding tight

CRISIL Research survey of private equity and venture capital

Research
Feeling
What we know What we understand
the pulse
Entire global economy is reeling under a Even in alternative funds space, the flow of
pandemic-triggered recession. Various money or investments is slow
industries are struggling to find ways to
survive this crisis

What we tried to know ? Questions we asked

Through our coverage of the impact on various We reached out to private equity and venture capital
industries, we have tried to understand investors to understand
− Whether investors will continue to put in − How this space will look like in the next 1-2 years
money or stay away − Which sectors the fund houses will focus on
− Where they will direct investments to

Answers we got
The views and expectations of investors obtained from the survey and interaction is presented
in our report titled ‘Holding tight’

The findings are based on survey and telephonic interactions with key stakeholders in private equity, venture capital and other alternative funds. The survey, conducted between May and
Approach June this year, received responses from 26 independent funds and respondents. It gathered insights to glean an outlook on private equity and venture capital funds through questions
pertaining to investments, fundraising, exit, portfolio performance expectation over the next 6-12 month and 12-24 month timeframes, compared with 2019, and to identify the focus areas
of investors in future.

Research
2
Key
messages
Over the next one year, private equity PE and VC investments, excluding
(PE) and venture capital (VC) players Jio-platfrom, will decline this fiscal,
will focus on managing existing portfolios but will log a quick, though moderate,
and will be less aggressive on new recovery next fiscal
investments

Digital economy will continue to attract Investors have positive views on

investments, with healthcare garnering India being an attractive investment
more attention than the financial sector market in the APAC region even post-
pandemic

Exit options will be limited. Merger

and acquisition (M&A) exit route will M&As will rise over the next two years
provide some relief

Research
3
Pandemic slams Quick recovery in PE and VC investments
With companies’ performance declining, risk of

the brakes on Only 23% of investors expect

investments to rise in next
investment loss increases. Good investment opportunities
are rare and finding them becomes critical. On the other
hand, disruptions like these trigger or hasten innovation,
6-12 months; 69% expect a
private equity 6-12 months 12-24 months
rise in the next 12-24 months
attracting investors to the market.

and venture
Rise expected in M&A activities
capital activity
66% expect an uptick in M&A Mergers and acquisitions (M&As) for inorganic ex-
1/2 activity, only 28% expect a
decline in next 6-12 months
pansion and strategic exits will rise as firms put capex
plans on hold.
6-12 months 12-24 months

CRISIL Research survey Prudent approach towards fundraising

gauges investor mood as With enough dry powder at the global and pan-India levels
and few attractive opportunities for capital deployment, funds
growth stalls after three Almost 90% expect fundrais- are not expected to raise money.
New entrants may find it difficult to raise money as limited
strong years ing to decline in the next 6-12
partners (LPs) would prefer to stay with experienced general
months
partners (GPs) and funds.
6-12 months 12-24 months

More than half of the investors

say investments will decline in the Limited improvement in fund exits
next 6-12 months. The negative A good 67% expect a drastic
Exit options were limited and would continue to
expectations, however, drop reduction and 28% a marginal
be limited given the pandemic-led uncertainty in
decline in exits in next 6-12 months.
sharply to just 15% for a longer- This moderates to a total 44%
growth. PE and VC funds may opt to stay invested
term view. expecting only marginal decline in
longer to achieve desired returns.
6-12 months 12-24 months 12-24 months

Research
4
Pandemic slams Portfolio firm performance Attention focused on Investors eye
expected to decline managing existing innovation and/ or
the brakes on portfolios lower valuations
In the next 6-12 months, 80%
private equity of investors expect portfolio
performance to decline, In the next 6-12 months, Differentiated solutions and
particularly in terms of financial 43% of investors will a correction in valuations

and venture stability, making it imperative

for them to focus on on existing
focus on managing
existing portfolios; 58%
are key expectations as
nearly 70% investors look
expect new investments for innovative business

capital activity investments.

to decline. solutions and strategies and/
or lower valuations when
making new investments.
2/2
Overall Indian PE and VC market cautious in near term, expects only marginal recovery going ahead
A whopping 80% of
Around 42% of respondents are cautious of the changing environment and
the investors say are taking a wait-and-watch approach.
portfolio companies Investor sentiment

will see contraction in 4% Decline in investments expected to be short term with ~70% of investors
expecting a marginal recovery next year.
performance this fiscal,
although 54% are still 42% PEs are expected to focus on segments minimally impacted by the
pandemic.
bullish on certain key 54%

sectors Over a longer term, these segments will see a positive structural change that
will drive stronger growth due to changing consumer behaviour.
Bearish across Sector selective bullish
Wait and watch with caution Promising opportunities in emerging sectors such as technology,
e-commerce and healthcare will keep investment activities humming.

Research
5
Economic Economic impact
slowdown, Weaker global demand: Global V-shaped recovery
gross domestic product (GDP) to India GDP expected in GDP growth with
pandemic contract by 5.2% in 2020
World Bank Global economic
to decline by 5.0% in
FY21
average 7% CAGR
over FY22-24
-5.2% prospectus June 2020 -5.0% 7%
make
current fiscal
Corporate impact
challenging
Profitability: Ebitda Credit metrics
India Inc to see more than 15%
to fall faster than weakening across
slide in revenue in FY21
revenue sectors

Forecast of a 5% decline
in GDP has raised red
flags already. Worse
may be in the offing if Behavioural impact
the pandemic scenario
extends
Lower discretionary Increased adoption Higher penetration of
spending of technology e-commerce services

Research
6
Investments PE and VC investments grew significantly over the past five years, but have trended down since the
fourth quarter of fiscal 2020
falling since PE and VC investments clocked a robust Investments in first quarter of fiscal 2021 Monthly investments in the last four months, i.e.
22% CAGR since fiscal 2015 very low excluding outlier investments from March to June, were 60-70% lower than the
fourth quarter raised by Jio platforms monthly average of the last three years

of last fiscal 50 20
Variation in investments w.r.t to average monthly investments
for last 12 months

40 15 80%
10

$ billion
30

$ billion
20 5
0 0%
10

Jan-20

Jun-20
Mar-20
Feb-20
Nov-19

Dec-19
Oct-19

Apr-20

May-20
Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1
0 FY19 FY20 FY21
Uncertainty in economic growth FY15 FY16 FY17 FY18 FY19 FY20
Investments Jio Platform Reliance Jio’s tower arm -80%

Note: excluding Jio platform

Impact on valuations due to Note: India-based AIFs and domestic funds, International funds, pension and sovereign funds investments are considered for total investments
Source: News articles, IVCA, CRISIL Research
change in assumptions

Top sectors by investment deal volume Top sectors by investment value

FY15 FY20 FY15 FY20

Investee focus on survival over Technology and IT Financial services Real estate Infrastructure
business expansion
E-commerce Technology and IT Financial services Financial services

Financial services E-commerce Technology and IT Real estate

Real Estate Foods and consumer (D) E-commerce E-commerce

Drawn-out due diligence due to
operational constraints
Infrastructure and real estate sectors typically known for large transaction sizes aided rise in total investment value.
Technology, E-commerce and Financial services have been attracting investments consistently.

Research
7
Deployment of 58% of investors say investments will decline over the next one year; however, sentiment quickly turns positive

capital will be over the next 12-24 months

Investments will decline in the short term over concerns and uncertainty over India Inc. performance
slow given the Outlook is expected to be more positive in the long run as 70% of respondents are hopeful of improvement, but largely with marginal growth as companies
would struggle to regain post-Covid-19 growth trajectory

uncertainty in 50%

the economy Q. How do you think

investments will be impacted 23%
35% Reduce drastically
Reduce marginally
19% 19% 19% Remain the same
compared with 2019? 15% 15%
Improve marginally
4%
Improve strongly
6-12 months 12-24 months
A quarter of investors
expect drastic reduction
in investments
Short-term investments will decline as 43% of investors to focus solely on managing existing portfolios
46% of investors who are willing to look at new investments will have a sector-specific strategy or a balance between new and existing.

Overall investment climate will be muted as only 11% are focusing on new investments

Q. Do you agree that

the pandemic will 27% Yes, focus on existing portfolios for initial two quarters
impact your firm’s 16% Yes, focusing on existing portfolios for next one year
investment strategy
and in next one 19% Balance between existing and new investments
year your firm will
27% Sector specific strategy for existing and new investments
primarily focus on
managing existing 11% No, will largely focus on new investments
CRISIL Research survey of private portfolio companies?
equity, and venture capital and funds

Research
8
Pandemic Investors have extreme negative growth outlook on revenue, profitability and financial stability of portfolio companies

casts a pall In the short term, more than 80% investors expect a decline across all parameters

on portfolio In the longer run, performance would not improve majorly but will be less negative. Long-term horizon will still be largely as-is or marginally decline

With negative outlook, there will be some write-offs and loss lingering around the corner for funds, impacting their overall returns. With portfolio growth
performance performance impacted funds may stay invested longer for expected rate of return

Revenue growth Profitability growth Financial stability

46% expect drastic 46% 46% 4% 4% 38% 46% 4% 12% 77% 12% 0%
12%
reduction in revenue Q. What is your
firm’s outlook 6-12 months

on portfolio
38% expects drastic companies for
reduction in profitability the following
parameters? 12-24 months

89% expect decline in 35% 27% 23% 15% 42% 27% 8% 23% 27% 42% 12% 19%

financial stability 0 Line 0 Line 0 Line

33% 33% Reduce drastically

It will take more than 1-217% Need for drastic efforts to Financial stability is highly
33% 33% Reduce marginally
6% to reviveReduce
6%year drastically
the revenue maintain profitability through negative but would improve
growth17% path optimised cost structure only marginally going ahead
33% 33% Reduce drastically Reduce marginally Remain the same
6% 6% with 27% still expecting lower
33% 33% 17%
Reduce drastically Reduce marginally Remain the same
17% Improve marginally financial stability
6% 6%
17% 28%
33% 33% Reduce drastically Reduce marginally Remain the same Average sentiment
6% 6% 17% Improve marginally Improve strongly
17% 28%
6% 6% Reduce marginally Remain the same
17% Improve strongly
61% Improve marginally
6-12 months 12-24 months
28%
Remain the same
17% 61% Improve marginally
6-12 months
Improve strongly
12-24 months
28%
CRISIL Research survey of private 17% Improve marginally
61% 6-12 Improve strongly
months 12-24 months
28%
equity, and venture capital and funds
61% 6-12 months Improve strongly
12-24 months

61% 6-12 months

Research 12-24 months
9
Managing 70% list liquidity as the top risk, followed by 58% for both muted consumer demand and change in
consumer behaviour
cost in Muted demand and liquidity issues are new entrants to top risk factors for portfolio companies, at least in the short run

existing Q. Which factors do you

Liquidity and cash flow issues 69%
Muted consumer demand 58%

portfolio believe will pose the

greatest risk to your firm’s
Changing consumer behaviour
Supply chain and logistics issues 38%
58%

Changes in the economic environment 38%

portfolio companies over
companies the next 12 months?
Sustaining business operations and staying afloat
Capital for expansion plans
27%
23%
High speed of technological changes 4%

will be the key Others

Requisite skills and talent 0%
4%

0% 50% 100%

objective over
the next Over 75% investors look at optimising manpower and operational expenses for managing performance

one year GPs expect portfolio companies to mange cost structure by managing operational expense, optimising manpower and deferring geographic expansions

Optimise manpower 77%

Q. What long-term Limiting operational expense 77%

Deferring geographic expansion 55%
More than 75% of the strategies will
Pay cuts 36%
investors expect firms to portfolio companies Opt for WFH formats 36%
Expansion
plans will be
most likely look at  Leverage / Invest in technology to optimise costs 27%
optimise manpower and to tide the crisis? In-house capability building 27%
deferred

Reduction in S&M activities 27%

limit opex M&A: Inorganic expansion / Merger 18%
Diversification of product / service 9%
0% 50% 100%
% of Investors

Research
10
Exit market to Firms are expected to delay exits over the longer horizon for
better returns
Exits have been declining and the past two
fiscals have had a lower number of exit deals

stay dull, but Exit options are likely to be limited. Funds would prefer to stay invested longer to
achieve desired returns
5

M&As to see A recovery in the exit market will be very slow, as 44% expect a decline even in the
longer term and 28% expect a marginal improvement over 12-24 months with only 6%
4

expecting a strong improvement

traction 3

$$billions
billion
2
67%
Reduce drastically
Q. How do you 44% Reduce marginally 1
see exits to Remain the same
28% 28% 0
95% of investors expect be impacted
17%

Q1_FY19

Q2_FY19

Q3_FY19

Q4_FY19

Q1_FY20

Q2_FY20

Q3_FY20

Q4_FY20

Q1_FY21
Improve marginally
compared to
a major decline in exits in 2019? 0%
6% 6% Improve strongly

the next 6-12 months 6-12 months 12-24 months

M&As for expansion and as strategic exits will see increased Exits via M&A have been fairly good in the
traction post-Covid-19 past few years, as the IPO market was dry
66% of investors have a positive outlook on M&A deals in the short term, but this Exits via M&A deals would see an uptick in FY21
rises to 77% in long term. M&As will see a moderation in the longer horizon, as more
investors expect a marginal rise than strong growth 100
Mergers of health-tech
platform DocsApp with
Medibuddy
75

# of deals
44% 44% HCG Global : Oncology
Q. How do Reduce drastically 50 Hospitals
you see M&A 33%
Reduce marginally
deals to fare 22% 22% 25
Remain the same Merger of DocCare AI with
compared to HealWell24
2019? 11%
Improve marginally 0
6% 6% 6%
FY16 FY17 FY18 FY19 FY20
CRISIL Research survey of private Improve strongly
6-12 months 12-24 months
equity, and venture capital and funds

Research
11
GPs stayed away from fundraising in first quarter of fiscal 2021 due to a freeze in commitments from risk-
Indian funds averse LPs and adequate capital in hand for limited investment opportunities.
saw limited Over 30% growth in funds raised Third quarter of fiscal 2020 saw highest funds raised / an- LPs freeze commitments
since FY18 nounced in a while, but April was zero, while May showed Overall lower risk appetite
fundraising slight traction. for LPs due to uncertainty in
growth

in last two 15 4
LPs wary of backing new funds
or GPs

quarters

$ billion

billion
10
2
Restriction on roadshows/

US $$Bn
5 fundraising activities

Fundraising was almost 0

0

Q1

Q2

Q3

Q4

Q1

Q2

Q3

Q4

Q1
nil in first quarter this FY15 FY16 FY17 FY18 FY19 FY20
FY19 FY20 FY21 Enough dry powder with PE

fiscal
and VC funds

Note: Indian funds are considered for amount of funds raised

Source: News articles, IVCA, CRISIL Research

Indian funds are sitting

on enough dry powder, Top sectors by investment value
Sectors in which India-focused funds raised / announced capital since FY20
which reduces the need Early stage/ start-ups drive most of the investments by
Early stage/ start-ups 28% Indian funds.
for additional fundraising
Consumer, healthcare, financial services, manufacturing and technology 26% Traditional sectors such as consumer, healthcare,
BFSI, manufacturing, and technology and IT attract
Sector agnostic 14%
over 40% of investments (including sector-agnostic
Venture debt and private credit 14% funds).
Warbug Pincus raised up to $1.5 billion for its first
Distressed assets 10% India-focused funds in third quarter of fiscal 2020 for
consumer, financial and manufacturing segments.
Logistics 5%
Renewable energy 3% Renewable energy and logistics are garnering special
funds investments.
Share have been calculated by excluding the investments towards stressed assets by Government and any financial institution’s
stressed asset fund as reflected in graphs above. Excludes Real estate and Infrastructure

Research
12
Fundraising to Funds have a surplus of uninvested capital.
Plus fundraising is not major concern as
Fundraising is expected to be muted in fiscal 2021, as
~90% do not expect to raise funds during the year
be minimal as investment opportunities will be limited
Recovery in fundraising is expected after 12 months, with 50% having
a positive outlook
there is ample There is enough dry powder With an uptick in funds raised in
with India-focused funds for
capital available investments
the previous quarters, the available
capital for deployment is sufficient
Q. How do you
33% 33%
Reduce drastically

17% Reduce marginally

see fundraising 6% 6%
Remain the same
to fare compared
with 2019? 17% Improve marginally
28%
Limited good Sector-specific funds will not face issues with fundraising, if there are
Improve strongly
investment opportunities 61%
opportunities for 6-12 months 12-24 months

investment is expected
to be a bigger challenge
than availability of funds India has the potential to attract international funds India-focused fundraising activity has not stalled; there
for deployment, but more has been very slow movement in Q1 FY21
Almost 60% of investors agree about India’s potential for attracting
than 60% of investors are investments in the APAC in the long run
WestBridge in talks to raise fresh
positive India will attract money from LPs for an evergreen
Gaja Capital initiated fundraising
for $400-500 million
international capital in the More positive view fund (> $500 million)

long run Q. Will India

be a more JM Financial group raises
Sixth Sense Ventures initiated
attractive 42% $21 million for stressed-asset
35% fundraising for $200 million
investments
market for
investments in 19%

APAC post the 4% Iron Pillar raised $45 million for Basis Vectors Water Bridge
0%
pandemic? existing portfolio companies ($50 million) ($10 million)
Strongly Agree Can't say Disagree Strongly
CRISIL Research survey of private agree disagree

equity, and venture capital and funds Note: Funds raised or initiated from April 2020; Source: News articles, CRISIL Research

Research
13
Investors
50% of investors are looking for investments in innovative businesses that will perform well in the long run
will evaluate
Innovative business solutions / strategies, along with a correction in valuations, will attract investors to explore new portfolio firms.
options for new
deployment of 100%

% of investors
Q. Which of the 50%
capital following reasons are
more valid for you to
50%
46%
27% 23% 19% 15%
invest in new portfolio
0%
companies? Innovative business Lower valuation Change in Buying of distressed Opportunity for New investments
solutions and consumer behaviour assets for inorganic growth: are not likely
During periods of slow strategies and rise in demand turnaround consolidation in
industry
economic growth, good
investment opportunities
are expected to be limited. 39% of investors expect debt funding to rise in current scenario
Funds will also take longer
Sharp rise is expected in private debt funding. Private debt funding is at a nascent stage in India, and has been growing moderately.
than usual to complete due
diligence, further delaying Many funds such as CDPQ, along with Piramal Partners, Apollo global management, KKR, and Alteria capital have raised / announced capital for private
credit / structured debt
investments
27%
23%
Q. Will private debt / 19%
15%
convertible debt instruments 12%
see more traction in current 4%
scenario?
A great deal A lot Moderate Little None at all Only temporing
amount debt funding /
CRISIL Research survey of private bridge capital
equity, and venture capital and funds

Research
14
E-commerce will remain the sector of choice with investor interest of 58%, followed by healthcare with 46%
Chunk of Healthcare has grown to be among the top-three sectors, along with e-commerce, technology and IT-enabled solutions. Gaming and deep tech are special
mentions.
1. E-commerce
investments to 100% 2. Healthcare focus

flow into sectors Q. In next Gaming,

Impact of pandemic has increased
investor focus on new-age and

% of investors
58%
12 months, 46%
deep traditional healthcare segments

that support I expect

my firm to
50% 38% 35% 35%
27% 23%
tech
3. Tech and IT

15%

digital economy focus on

opportunities 0%
12% 8% 8% 8% 4% 4% 4%

in following

Tech & IT (B2B)

Industrial

Other (please
Consumer non-

Materials
Healthcare

Consumer food

Consumer

Real Estate
E-commerce

Telecommunicati

Infrastructure

Energy

Utilities
Financial and

and beverages

durable
insurance

durable (D)

on services
specify)
sectors

Healthcare sector is
ranked 2 for investor
interest above Tech and IT Consumer and digital platform have been the Venture capital and growth funding will largely be
theme for investments in 2020 till now the strategy for PE and VC players in 2020
Top sectors in deal making since Jan’20 to May’20 More than 70% of investors will look for venture capital and growth funding in
key focus sectors;
35% of investors will look to invest in and revive distressed assets
Sectors Themes

Consumer Wellness and health Q. What will 100%

be the core 73%

Technology AI-powered, Machine learning

% of investors
element of
Healthcare Tech-based solutions 50%
your firm’s  35%
23%
E-commerce Vertical segment e-commerce investment 15% 12% 8%
strategy in 0%
BFSI NBFCs and tech solution 0%
2020

Buyout
capital and

/ Debt capital

Infrastructur
Environment
in distressed

specify)
Governance

(please
Investments

, Social and
investments

e and real

Other
Venture

funding
growth

assets
estate
assets

(ESG)
Credit
Logistics Logistics infra and management system
CRISIL Research survey of private Enterprise SaaS Support solutions for digital world
equity, and venture capital and funds

Research
15
PEs to focus CRISIL Research analysis for key sectors

on resilient Funding scenario after Covid-19

Higher technology
Accelerated technological
adoption / product innovation
New / repeat consumer
acquisition post-Covid-19#

Roads Tech and IT

segments with RE residential

RE commercial
Renewable

Healthcare services
disruption means
investment opportunity
in innovative solution
providers
E-commerce
(health-tech, edu-
tech, fintech)

growth potential Banking and NBFCs Org. retail (offline)

Funding requirement
Consumer
products
Tech and IT
Health-tech
PEs expected to focus Organised retail
on segments that will (offline)
see minimal negative
Pharma E-commerce impact of the pandemic Banking and
Logistics NBFC
Fintech and have strong growth
Edu-tech prospects Healthcare
Growth of e-commerce Manufacturing /
industrial
services (offline)
Pharma
segment has not been Consumer discretionary

Consumer foods
Logistics
impacted much and it
Five-year growth prospects
is still expected to grow RE: residential
Demand in FY21
over 20% over the next Demand in
FY21
Highly
negative
Marginally
negative
About 0%
growth
Marginally
positive
Highly
positive
RE: commercial

five years Highly negative

Marginally negative
Marginally positive

Highly positive
Roads^

About 0% growth
Renewables
Low High -- No change ++

^: Consumer acquisitions are not applicable for roads

Within e-commerce, edu-tech and health-tech will perform better than fintech, as the financial sector and lending see slow movement in the current fiscal year
Consumer packaged foods and offerings related to health and wellness will see more demand from consumers
Real estate will see lesser interest, as the sector is already in a bad shape and demand will further deteriorate
Over the longer term, segments such as health-tech, edu-tech, technology and IT, and pharma will see a positive structural change, driving stronger growth
amid changing consumer behavior

Research
16
In addition to pharma and medical devices, digital and tech-enabled healthcare segments are expected to
Tech and gain due to higher health consciousness

healthcare
sector to 5X e-consultation
Increase in interest for online doctor
Digital Therapeutics
Self-health management / monitoring
Medical IOT
Connect all healthcare devices to
Specialised healthcare delivery

Online pharmacy
apps, track progress and report
focus on AI consultation in India. Popularity
above 50 for seven consecutive
weeks#
tools for lifestyle disorders, such as
managing blood sugar, weight care,
heart health
health summary to doctors
E-consultation/ telemedicine

and digital Mobile health

Health-tech (B2B+B2C)
solutions for Point of care Diagnostics: Testing AI and machine learning Forced adaptation Pharmaceuticals and biotech

efficiency
at clinic or on field immediately would Varied applications from screening and Covid-19 has pushed consumers
help in increasing geographical diagnostics to analytics data to help to try buying healthcare services
access and better turnaround physicians provide proven consultation digitally, aiding consumer acquisition Medical devices
in future

AI and Machine learning are new entrants among cloud, SaaS and data analytics
Tech (including IT and ITeS)
and healthcare saw over 100
deals in the three months Enterprise SaaS –
Business solutions
through Jun’20 Artificial intelligence Cloud computing Digital economy
A Nasscom study reveals that 50% The delivery servers, storage, The future of work will be co-
of tech start-ups consider AI as big databases, networking, software, existence of humans and technology- Ed-Tech, Fin-Tech, Health-Tech
technology opportunity analytics, intelligence and more over enabled devices
the Internet
SCM and Logistics

Agriculture focus
Healthcare focus Logistics and SCM BOTS
40% of start-ups consider healthcare The segment is attracting investments Solutions powered by AI and machine
vertical as a big opportunity in the for logistics management services. learning are increasingly aiding AI, Data Analytics
tech segment Agri-sector to be in focus efficiency and optimising human
interaction for critical tasks

Research
17
E-commerce segments are expected to gain due to increased acceptability during the lockdown, resulting
Tech in deeper penetration over the longer period

offerings in E-commerce

- Consumer shopping / delivery

consumer Healthy foods

Health, fitness and wellness gaining
Offline to online
Deeper penetration on mobiles,
Local brands
On-shelf/ local brands have seen
- Fintech, health-tech, edu-tech
consumer attention. Increase in interest, and convenience offered are a rise in sales due to availability/
services consumer offerings around nutrition,
nutraceuticals and healthy food
pushing online commerce supply-chain issues Renting / selling

Personal care and wellness

to deepen Consumer foods, beverages

penetration Online content and gaming

Gaming and other online
Personal care and hygiene
Beauty, personal care and hygiene are
Fintech and B2C e-commerce
Discretionary consumer spending
Dietary supplements /
nutraceuticals
entertainment platforms such as OTT key themes for the consumer market and digital financial services attracted
Gaming
are on the rise investments in e-commerce. Health-tech
and edu-tech to pace up

Dissemination of financial service across segments, convenience and security

of digital channels will drive industry growth
NBFCs / microfinance

Online lending services

Fintech Tokenisation Digitisation Banking

Building robust and reliable digital Enhanced system to ensure security Digital solutions for tech-savvy
infrastructure for the BSFI sector in transactions and avoiding usage of customers and increasing market Insurance
consumer data penetration
Fintech / Mobile VAS

Others
NBFCs / microfinance Alternative lending
Under-penetrated financial services P2P, invoice financing, mobile lending,
in driving investments for last-mile crowd funding, are other tech-led
financial inclusion models

Research
18
Analytical contacts
Rahul Prithiani
Director
[email protected]

Anjali Nathwani
Associate Director
[email protected]

Apurva Salvi
Senior Research Analyst
[email protected]

Research
19
About CRISIL Limited
CRISIL is a leading, agile and innovative global analytics company driven by its mission of making markets function better.
It is India’s foremost provider of ratings, data, research, analytics and solutions with a strong track record of growth, culture of innovation, and global footprint.
It has delivered independent opinions, actionable insights, and efficient solutions to over 100,000 customers through businesses that operate from India, the US, the UK, Argentina, Poland, China, Hong Kong and Singapore.
It is majority owned by S&P Global Inc, a leading provider of transparent and independent ratings, benchmarks, analytics and data to the capital and commodity markets worldwide.

About CRISIL Research

CRISIL Research is India’s largest independent integrated research house. We provide insights, opinion and analysis on the Indian economy, industry, capital markets and companies. We also conduct training programs to financial
sector professionals on a wide array of technical issues. We are India’s most credible provider of economy and industry research. Our industry research covers 86 sectors and is known for its rich insights and perspectives. Our anal-
ysis is supported by inputs from our network of more than 5,000 primary sources, including industry experts, industry associations and trade channels. We play a key role in India’s fixed income markets. We are the largest provider
of valuation of fixed income securities to the mutual fund, insurance and banking industries in the country. We are also the sole provider of debt and hybrid indices to India’s mutual fund and life insurance industries. We pioneered
independent equity research in India, and are today the country’s largest independent equity research house. Our defining trait is the ability to convert information and data into expert judgments and forecasts with complete objectivity.
We leverage our deep understanding of the macro-economy and our extensive sector coverage to provide unique insights on micro-macro and cross-sectoral linkages. Our talent pool comprises economists, sector experts, company
analysts and information management specialists.

CRISIL Privacy
CRISIL respects your privacy. We may use your contact information, such as your name, address, and email id to fulfil your request and service your account and to provide you with additional information from CRISIL. For further infor-
mation on CRISIL’s privacy policy please visit www.crisil.com.

Argentina | China | Hong Kong | India | Poland | Singapore | UK | USA | UAE

CRISIL Limited: CRISIL House, Central Avenue, Hiranandani Business Park, Powai, Mumbai – 400076. India
Phone: + 91 22 3342 3000 | Fax: + 91 22 3342 3001 | www.crisil.com