Envision’s Nilesh Shah feels MapmyIndia can add value in the long-term

In an interview with CNBC TV18, Nilesh Shah, MD and CEO of Envision Captial said MapmyIndia's broad focus on a variety of fields could help it bring value in the long term.

“Majority of our tech companies are either IT services companies or Software as a Service (SAAS) companies. This (MapmyIndia) is a deep tech company, which is focused on mapping solutions, navigation solutions, and geospatial solutions, where the use case is very broad-based... it can pretty much play a role in any sector of the economy that you can think of. Be it mobility, automobiles, aerospace, defence, urban infrastructure and various development projects,” he added.

Shah, however, cautioned short-term investors and said that the business is not suited to their investment needs. “Obviously it is not going to be for the faint-hearted,” he added.

The ace investor reasoned the elevated margins of the business and said that “the growth can be bumpy along the way”. He said an investment in the company won’t be a good idea looking at a one- to four-quarter perspective. He added that from a thematic and directional perspective, the company is a good pick for a five-year horizon.