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IndiQube to expand into new cities, targets 30% revenue growth in FY26
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Bengaluru-based workspace solution provider IndiQube Spaces plans to add 4 to 5 new cities to its portfolio over the next couple of years while expanding its presence in existing cities, Rishi Das, its co-founder and CEO told Business Standard.
'In newer markets, we plan to double or even triple our footprint over the next few years, while markets where we already operate will see a modest growth as compared to newer ones,' Das said.
The recent market debutant entered new markets like Kolkata and Mohali in the quarter ended June. Going forward, Das said that there are plans to add
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Time of India
2 hours ago
- Time of India
Our business philosophy is clear - grow to sell or sell to grow, says SN Subrahmanyan, chairman & MD, Larsen & Toubro
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L&T operates across three segments —EPC projects, manufacturing, and IT/technology services. Our philosophy is simple: grow to sell or sell to grow. 'Grow to sell' means scaling businesses until they're attractive for monetisation. 'Sell to grow' applies when businesses underperform—we exit and reallocate capital. I've applied this approach extensively. And when a business isn't saleable, we wind it down. For instance, we've sold electrical switchgear to Schneider Electric , renewable power to ReNew, and exited ports/airports. Nabha Power generates reasonable returns, but we're open to selling if opportunities arise. We're seeding growth in four frontier areas: real estate, semiconductors, green energy, and data centres. What drove L&T's transformation into the real estate sector? It started out of necessity and strategic foresight. We had some land in Powai (Mumbai), but the area was becoming increasingly residential, so we shifted factories to Hazira and explored monetising the freed land. AM Naik (chairman emeritus, L&T) suggested self-development—that's how our real estate business started. Today we have 75 million square feet under development—80% residential, 20% commercial. Our goal is to reach 100 million sq ft in the next year, making us one of the top two real estate players in India. Live Events How are you conceptualising the technology services strategy? We acquired Mindtree just before Covid and later merged it with L&T Infotech (LTI) to create a $4.5 billion global IT services firm. With L&T Technology Services, this segment contributes 15–17% revenue and is growing faster than EPC. Services businesses tend to be more profitable—they're not material-intensive like EPC. That's why we're pushing the services portfolio faster. Realty, L&T Finance, LTI Mindtree , and L&T Technology Services form that high-margin, capital-light segment of our portfolio. What are your plans for the semiconductor sector? Our two-year-old chip design business employs 400 engineers—primarily Bengaluru-based, with offices in Austin, Munich, and Tokyo. We are focusing on analog chips in larger nodes (28-48 nanometers). The strategy is to design chips, develop proof of concept, showcase to clients, then do contract-manufacture. We may become the first Indian company to design and commercialise chips fully in-house. Seven clients are already onboard. How are your green energy initiatives developing? We focus on electrolysers, green hydrogen, and green ammonia. We've built India's first electrolyser and sold several units. We're executing the world's largest green hydrogen plant—100 MW producing 10 million tonnes annually at Indian Oil's Panipat refinery. 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Each business unit must demonstrate self-sufficiency rather than relying on headquarters funding. Priority is establishing stronger B2C capabilities. Will these diversification efforts require organisational restructuring? Not necessarily. Our ownership structure (15% employee trust, remainder distributed among mutual funds, institutional investors, shareholders) limits extensive restructuring. L&T remains the primary holding company for EPC and manufacturing. Profitable, sustainable subsidiaries will be considered for separate listings after demonstrating consistent growth over about two years. How are you preparing the workforce for these strategic transitions? We're leveraging a new generation of employees who bring fresh perspectives. We have identified high-potential individuals across verticals for accelerated development through expanded responsibilities and controlled learning experiences. Many project sites are now managed by 28-32 year-olds, replacing traditional 40-year-old leadership requirements. India's largest hockey stadium in Rourkela was delivered by a 28-year-old former executive assistant. What strategic considerations will influence capital deployment decisions moving forward? Our Lakshya strategic framework guides allocation. The current four-year plan concludes March 2026, with preliminary assessments showing we're meeting or exceeding targets despite pandemic challenges. The next cycle (2026-2031) encompasses both quantitative and qualitative business aspects, organisational restructuring, succession planning, technology integration, digitalisation, and AI implementation. We are targeting doubling of revenue every five years. What are the anticipated capital spending requirements? Annual operational capex averages Rs 5,000-6,000 crore. Strategic investments in semiconductor, data centre, and realty businesses are projected at approximately Rs 1.5 lakh crores over five years, plus campus expansion initiatives. With zero debt, excluding minimal Hyderabad Metro obligations, and over `50,000 crore group cash reserves, we're positioned for strategic opportunities. What is L&T's approach to startup sector investments? Have you personally participated in funding early-stage companies? The board allocated funds for startup investments. Seven transactions have been completed so far, representing 10-15% stakes that do not require consolidation. We maintain board positions or observer status in several portfolio companies. Our strategy focuses on ecosystem investments aligned with our business domains, enabling us to provide business opportunities and mentoring while nurturing startups to sustainable growth levels. Personally, I find young entrepreneurs remarkably inspiring. 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This indigenously manufactured system delivers a 45-kilometre range with exceptional accuracy and rapid repositioning capabilities. We've developed India's first indigenous light tank, Zorawar, a 25-tonne vehicle designed for high-altitude operations in regions like Ladakh. The naval operations centre at our Kattupalli facility in Chennai is producing offshore patrol vessels, anti-submarine warfare ships, and carrier trading vessels exclusively for military applications. We've delivered ships to Vietnam's defence forces and maintain repair agreements with the US Navy for Indian Ocean operations. We are contributing to Akash, BrahMos, and Pinaka missile systems plus launch infrastructure. As India's largest private defence company with $1 billion revenue, we continue to expand this strategic business area. Why prioritise electrolysis over solar manufacturing? We missed the solar manufacturing opportunity, but we're the world's largest solar EPC contractor, executing about 5 gigawatts annually across the Middle East and India. We've completed massive installations including 2.8 GW facilities. Rather than entering saturated solar manufacturing, we chose electrolysis as our strategic focus. What are your plans for nuclear power? We possess unique capabilities in nuclear infrastructure—end shields, calandria, steam generators, and complete nuclear plant construction. We built Tarapur and are currently constructing Kudankulam. However, international expansion attempts, including in France, haven't succeeded. Our upcoming strategic plan will reassess nuclear opportunities, though this sector requires substantial bandwidth, ecosystem management, and cultural understanding. Why did L&T resume bidding for thermal power plants after previously deciding to avoid them? India's 6-7% economic growth increased power demand beyond renewable capacity. 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Time of India
2 hours ago
- Time of India
At least 7 killed in landslides in J&K's Kathua; 11 injured
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Time of India
3 hours ago
- Time of India
Carlyle to buy major stake in Knack Global
Live Events (You can now subscribe to our (You can now subscribe to our Economic Times WhatsApp channel Mumbai: Private equity (PE) fund Carlyle Group has signed an agreement to acquire a significant majority stake in Knack Global , a Florida-based revenue cycle management (RCM) solutions provider, at a valuation of around $500 million, people aware of the deal told exact quantum of the stake could not be in 2007 by Rajiv Sharma in Mohali, Knack employs more than 3,800 healthcare experts and caters to providers across categories including physician groups, hospitals, ambulatory care centres, surgical facilities, and durable medical equipment suppliers. The company has a strong global footprint, with offices in Mohali, Mumbai, Hyderabad and Jaipur, besides four offices across the by investors such as LKCM Headwater Investments, Weave Growth, and angel investor Anurag Jogindernath Wahi, Knack Global raised its last funding in a seed round in 2022, according to firm appointed Arvind Ramakrishnan as CEO in May 2024, who joined from 8D Consulting Inc., bringing deep experience advising private equity firms on healthcare technology and services.A Carlyle spokesperson declined to comment while mails sent to Knack Global did not elicit any responses till the press to BCC Research, the global healthcare BPO market is projected to grow from $151.9 billion in 2022 to $259.5 billion by 2028, at a CAGR of 9.7%.The RCM industry has become a prime investment destination for global funds, driven by rising outsourcing demand from US healthcare providers. Increasing billing complexity, tightening compliance requirements, and the need to improve patient experience have pushed hospitals and physician groups to partner with specialist RCM firms. Outsourcing allows them to cut costs, improve efficiency, and ensure faster Knack Global deal is part of a broader wave of consolidation in the $259-billion healthcare outsourcing market. In 2024, Carlyle was in the race to acquire Chennai and Texas-based RCM service provider Access Healthcare , before US fund New Mountain Capital clinched the deal at a valuation of $1.8-2 billion, outbidding Blackstone, TPG and recent large-ticket deals include Blackstone's $1.1-billion acquisition of AGS Health, Ontario Teachers' Pension Plan's 45% stake buy in Omega Healthcare valuing it at $1.8 billion, TA Associates' $250 million majority buyout of Vee Healthtek, and EQT Partners' $860-million acquisition of GeBBS Healthcare Solutions from complexity of healthcare billing and reimbursement regulations, the growing focus on improving patient experience and the need for efficient and cost-effective revenue cycle management processes, are some of the key factors that are driving the healthcare revenue cycle management market, according to a study by Precedence Statistics.
