Raamdeo Agrawal, chairman of Motilal Oswal Financial Services, on Friday, said that there is a start of a new era of investing in Indian equity markets with Zomato listing.
Speaking in an interview with CNBC-TV18, he said, “This is a start of a completely new era in the industry. We have seen in the last 20 years in China that typically large credible corporations started with an upfront investment to the profit and loss (P&L). These kinds of digital companies spend billions of dollars through P&L to build their app, riders, customer satisfaction. They are companies with value; there is value in what they have created.”
“Today, top 10 companies are digital companies in the world and that’s the possibility for India," he added.
This kind of entrepreneurship is completely free of any kind of restriction and that freedom is going to allow growth, weighed in Agarwal.
"10 years is a long time and in 10 years the topmost company will be of Rs 50-60 lakh crore (market cap). A few companies will be from the digital space. However, which one that will -- only time will tell,” said Agrawal.
On largecaps and IT, he said, “Benefit of the digital world is known to all the businesses and in competition, everybody wants to execute very quickly and because of that see the war of talent that is happening. So it’s a clear sign that there is a boom going on there and it is not going to be a one-two quarter phenomenon.”
Watch the accompanying video to know more about Motilal Oswal Financial Services’ Q1FY22 analysis.