India
In the late 1990s when I was running IndiaWorld, I remember eagerly reviewing prospectuses of Internet companies that went public. The documents were rich with information about the business models and had a lot of numbers about the nascent and emerging digital industries. Prospectuses then were hard to come by, so I would use visits to investment banks to pick them up, along with the analyst reports which distilled the thick documents into readable summaries.
As the era of Internet IPOs begins in India (a decade or two delayed), the filings by companies going public in the form of the DHRP (Draft Red Herring Prospectus) offer a similar treasure trove of information. In this series, I will aggregate the important information from these documents so it becomes a useful ready reference. While much of it may be available elsewhere, having it all available in a single place can be useful and helpful. I have used various DHRPs downloaded from the Sebi site.
Every DHRP starts with the India big picture:
- GDP growing from $2.9 trillion in 2019 to $4.4 trillion in 2025 with a CAGR of 7.2% – Zomato
- 6% population in the age bracket of 20-59 years – Zomato
- India has 745 million people in the working age group as compared to 172 million in US and 849 million in China. India is one of the youngest nations in the world, with a median age of 28 compared to 38 in China and the United States, 43 in Western Europe, and 48 in Japan. India has 700 million generation Z and millennials, largest in the world. – Paytm
- Indian middle class is 55-57% of the population currently, and is likely to be 65%+ of population by 2030 – Patym
- Private consumption is expected to increase from US$ 1.6 trillion in 2019 to US$ 2-2.5 trillion in 2025 – Paytm
India’s demographics, from MobiKwik:
Nykaa highlights the “Young India” opportunity:
Nazara shows the per capita national income…
… and the growth in per capita personal income (in thousands of rupees):
