TPG Growth, Smile Group form $100m JV

The joint venture will target Indian businesses helping them expand into other emerging markets.

The growth equity investment arm of Texas-based TPG, TPG Growth, has formed a joint venture with Indian internet company Smile Group to invest in successful and growing internet companies to help roll-out their businesses across Asia and other emerging markets, according to a statement.

The pair will invest a total of $100 million in the venture, which has set up offices in India, Singapore and San Francisco. The JV, called Katalyzers, also has representation in China, Africa, the Middle East and Latin America.

“Katalyzers will leverage Smile’s strengths, enabling successful digital companies to build businesses with speed and efficiency across the emerging markets without diverging their focus and bandwidth from the home markets,” Harish Bahl, the founder of Smile Group, said in a statement.

“We will bring together on one common platform local Asian knowledge, experience of building businesses, in-house talent of entrepreneurs, media and technology professionals, partnerships with marketing and performance media companies like Tyroo, DGM & WPP and now in partnership with TPG, deep financial assets for co-investment opportunities.”

TPG Growth targets investments globally, but maintains a particular focus in North America and Asia. The firm plans to use its geographical expertise to help expand these companies abroad.

“We are really excited to join hands with Smile Group. Bringing companies to the international markets will require deep expertise and capital,” said Keith Nilsson, partner at TPG Growth. 

“TPG Growth looks forward to supporting emerging technology companies in their endeavour to enter new overseas markets in partnership with Katalyzers.”

TPG Growth is a part of TPG, which is currently in the market with its sixth Asia vehicle targeting $3.5 billion. The firm had reportedly raised $2.9 billion as of this month after restructuring its Asia team.