BENGALURU: After a massive uptick in funding in 2021; this year start-ups have witnessed moderation in valuations and a fall in money inflows, therefore, their focus has shifted to drive profitability and optimise costs in the first half.
According to Grant Thornton Bharat, overseas listings, especially US SPACs, as well as Indian IPOs, have witnessed a slowdown in 2022, driven by the slowdown in global and Indian capital market fundraising trends.
In the first half of 2022, start-ups attracted private equity/venture capitalist deals of $5.1 billion, and also witnessed funding across segments- fintech, health tech and consumer-tech, the report said.
“Investors will continue to look at the emerging areas of opportunities covering fintech, consumer tech and e-commerce, healthtech and edtech. We will also see more focus on cost efficiency strategies by the start-ups and potential consolidation and M&A opportunities in the second half of 2022,” said Raja Lahiri, Partner and Technology Sector Leader, Grant Thornton Bharat. India Inc signed 1,149 deals valuing $104.3 billion in the first half.