This article is an extract from Inc42’s recently released Annual Indian Tech Startup Funding Report 2017 which provides a meticulously detailed analysis of the funding trends and M&As in the Indian startup ecosystem for the period 2014-2017. To read more of this report, click here.
In 2017, 133 M&As were reported in the Indian Tech startup ecosystem. A further breakdown of the total number of M&As reported last year reveals that out of the total deals – just 3% were mergers, 32% were acqui-hires and the remaining 65% were acquisitions.
When compared with the M&As reported in 2016, we found that there was a drop in the M&As by 14% in 2017, the year 2016 had witnessed about 155 M&As.
The sectorwise breakdown of M&As recorded in 2017 in the Indian tech startup ecosystem reveals that the number of M&A deals were the highest in the hyperlocal sector, the sector reported 23 deals. This was followed by enterprisetech which recorded 13 and then came ecommerce which saw just six M&As.
Google making its first acquisition in India was one of the most interesting things which happened in 2017 in this regard. The tech giant acquired four-month-old, Bengaluru-based startup Hailli Labs.