Davos 2026: B Capital to do more AI services deals in India, says co-founder Raj Ganguly

Raj Ganguly, co-founder and co-CEO of B Capital (L) with Chandra R Srikanth, Moneycontrol

B Capital's India team remains active and will do more deals in the aritificial intelligence (AI) and AI services space this year, Raj Ganguly, co-founder and co-CEO of B Capital told Moneycontrol in an interview at the World Economic Forum in Davos on January 20.

B Capital, founded in 2015 by Facebook co-founder Eduardo Saverin and his friend from his Harvard days, Bain Capital and Boston Consulting Group (BCG) veteran, Raj Ganguly, has backed Byju’s, PharmEasy, Mojocare, DailyHunt, Khatabook, Bhanzu, Icertis, Meesho, MSwipe, MoEngage, Blackbuck and others in India.

However, B Capital, which has over $9 billion in assets under management (AUM) globally, has largely been absent from the Indian startup ecosystem over the past 2-3 years.

“The last two years, the opportunity has been predominantly in Silicon Valley for us, but we remain very bullish that innovation is truly global,” Ganguly said.

The momentum is shifting. He said the India team remains active and will sign more deals this year. “We are excited to see the AI businesses coming out of India, especially AI services businesses which will build on the IT services background that India has…you'll see more out of us in 2026.”

More IPOs

The Indian startup ecosystem, the third-largest in the world, needs to see more companies going public, more firms being acquired by larger rivals and more share sales by existing shareholders, as per Ganguly.

“IPOs can only do so much. We need to see more M&As, we need to see more secondaries. The maturing of the Indian venture capital ecosystem will lead to more liquidity coming in,” he said in the interview.

“However, the ecosystem has made huge strides over the last couple of years, and the domestic IPO market is largely responsible for that."

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A part of the reason why B Capital has stayed away from India is also because some of its portfolio companies did not yield desired results in the recent years.

“Startups have learnt lessons, but more importantly, we as investors have learnt lessons...the whole investor ecosystem has learnt a lot...and governance is key because governance in India and governance in emerging markets is something that keeps foreign investors away.”