Blackstone CEO Stephen Schwarzman highlighted India as the firm's top-performing market, citing its growth-friendly environment and immense potential. Since entering in 2005 with a $1 billion investment, Blackstone has vastly exceeded expectations and now plans to double its exposure to $100 billion. Despite early challenges, the firm adapted by owning and leading businesses in India, a strategy unique to this market. With confidence in India's stability, young population, and technological focus, Schwarzman remains optimistic about its future as a cornerstone of Blackstone's global success.
India has emerged as the best-performing market for Blackstone, one of the world's largest private equity firms, according to its CEO, Stephen Schwarzman. Speaking in an exclusive interview with Moneycontrol, Schwarzman reflected on the firm's journey in India and their ambitious plans for the future.
"When we decided to come here in 2005, we announced that we will put $1 billion here. People have probably forgotten that 20 years ago, it was a huge number. We were on the front pages of all the newspapers. Now, we are many times of what we expected to be. This is because the country is such a great place to operate," Schwarzman shared with Bodhisatva Ganguli, Network18's Group Consulting Editor, during his visit to Mumbai.
Setting its sights even higher, Blackstone aims to double its investments in India to $100 billion in the coming years. "We spend our time building businesses in India, to make India better…We are rapidly growing in India. We are the largest foreign company in the country. We are the largest private equity firm here," he said. Schwarzman emphasized the firm’s positive outlook on the country, calling India an exceptional market to operate in. "We are very bullish on the future of the country," he added.
Addressing concerns about the recent fluctuations in the Indian stock market, Schwarzman remained optimistic. He explained that Blackstone has weathered many economic cycles over the years. "We look at the fundamentals in the country. It has excellent stability and political leadership. Regulations have gone down from where we had started. India has a very vigorous population, full of young people. There is a preference of technology. So we are very positive on the country. It is great to be back," he said confidently.
Reflecting on the early days of doing business in India, Schwarzman acknowledged the challenges they faced. "It was pretty difficult for a foreigner" to operate in the country two decades ago, he noted. While some of their initial investments did not yield the desired outcomes, the company adapted and learned how to navigate the Indian market. "The country changed as well," he remarked, highlighting the evolution of India’s business environment.
Over time, Blackstone realized that owning and leading businesses in India was more effective than simply holding minority stakes. This strategy, which differs from their approach in other parts of the world, has proven successful. "It's not what we do in other places in the world. We defaulted to what we are comfortable doing. If you control assets, things grow quite well here in India," Schwarzman explained.
As Blackstone continues to deepen its roots in India, the firm’s commitment to building businesses and contributing to the country’s growth remains steadfast. Schwarzman’s optimism reflects the immense potential he sees in India, making it a cornerstone of Blackstone's global strategy.
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