PE firms tap platform model to build scalable biz, boost efficiency

One of the latest examples is Carlyle combining auto component manufacturers Roop Automotives and Highways Industries to build an auto parts platform

Private equity (PE) firms in India are increasingly leveraging the platform creation model to consolidate fragmented sectors, achieve economies of scale, and boost operational efficiency.

 

According to industry experts, this approach is gaining traction across various industries, becoming more mainstream in India’s PE landscape.

 

“When private equity buyout funds are interested in a particular sector because of strong economic tailwinds, and it's a very fragmented market with a few industry leaders, then PE firms, with the right kind of operating team, will roll up their sleeves and go through the difficult path of creating a platform,” said Vivek Soni, partner,