Ex-Blackstone India Exec Hunts for Next Star in IPO Market
Electronic board indicating the latest stock figures are reflected in a glass facade at the NSE in Mumbai. (Photographer: Dhiraj Singh/Bloomberg)

Ex-Blackstone India Exec Hunts for Next Star in IPO Market

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Mathew Cyriac is looking to take at least two companies public in India in the coming years after MTAR Technologies Pvt.’s debut success.

MTAR Technologies, a precision engineering firm that Cyriac bought from Blackstone Group Inc. in 2017 when he left the private equity firm, has seen shares risen almost 62% since its March debut. The listing is part of India’s red-hot initial public offerings market where companies have raised about $4 billion since the start of the year, on track for the busiest first-half since 2017, according to data compiled by Bloomberg. UBS Group AG expects a record year for first-time share sales in the country despite the coronavirus pandemic.

Cyriac joined Blackstone as its second employee in India in 2006 and eventually became the firm’s co-head for private equity in the country. He now runs his own firm Florintree Advisors and remains optimistic about the IPO market.

Ex-Blackstone India Exec Hunts for Next Star in IPO Market

“There will be significant interest in new business models in fintech, digital companies and analytics-based IT services,” Cyriac, 51, said in an interview. “We expect to take at least two of our companies public in a few years.”

Florintree has five portfolio companies, mainly in the engineering and fintech sectors, he said. The firm has recently bought a minority stake in Mobikwik, an Indian digital payments platform, as well as drugmaker Wanbury Ltd.

The Mumbai-based investment firm has invested less than $100 million in the past three years and the MTAR’s IPO brought in 3.5 billion rupees ($48 million) of proceeds that could strengthen its war chest. It also secured a commitment from a family office for about 4 billion rupees and another 7 billion rupees from some local investors.

Cyriac plans to expand the investment portfolio to 10 companies and has been in discussions with a gold loan mortgagor and a heavy engineering company that’s going through debt restructuring, he said.

“We will be looking for fallen angels, buy them and restore to their old glory,” he added.

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