An employee inserts a screw on an air conditioner cabinet. (Photographer: Udit Kulshrestha/Bloomberg) 

Alpha Ideas 20-20: Private Equity Investor Anshuman Goenka’s Cool Idea 

When you think of the $102-billion Tata Group, you don’t immediately think of Voltas Ltd. Yet, the firm has enough potential grow. That’s according to private equity investor Anshuman Goenka.

The penetration of air-conditioners in Indian houses is less than 5 percent, much lower than other emerging markets, Goenka said at the Alpha Ideas 20-20 event in Mumbai. Even by 2030, the penetration would still be lower than 50 percent, leaving enough room for air conditioner makers to grow.

Also read: Air Conditioner Makers Expect High Double Digit Jump In Sales In 2018

Voltas, gained back some of its market share from international firms like LG, is well placed to benefit from this opportunity. Rising temperature and stable power connections will only add to higher sales, Goenka said.

A Tata-group firm, generally means its well-managed as well, he added.

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