With Ecommerce booming and Group Buying sites exploding (seen the recent Snapdeal ads?) everywhere, it is not a surprise that global VC firms like Canaan Partners is raising more money to put into the tech space. And for a change, India is getting a share in the pie. Till a few years ago, we were the land of Call Centers and Outsourcing. Recent years has seen smart people shifting from MNCs and returning from the Silicon Valley to create some truly valuable products out of India which can help us make a better world.
Canaan, which invests primarily in technology and healthcare companies in US, India and Israel has now brought its total capital under management to $3.5 billion! As per the latest notification by the firm, more than 67% of the funds would go into digital and social media, internet consumer products, enterprise solutions and mobile start-ups. And since Canaan follows a one-fund approach, on an average, you can expect 22% to go to India! You do the math, our head is boggling
Canaan was established in 1987, and its early bets on companies like DoubleClick (exit to Google), Match.com (exit to IAC) and recently the 2010 acquisition of Associated Content by Yahoo. Some recent investments by Canaan in were at LoyaltyRewardz (Consumer Loyalty) and UnitedLex. Though the 4th quarter of 2011 saw a decrease of 41% in the fund raising, the year 2012 looks set to usher in a new era for the Internet industry in India.
Canaan India has had its share of successes with Bharatmatrimony.com, iYogi.com, Motorexchange and Naaptol.com and things can only look better from here.
Even though they have yet not had an exit in India, such news are always good for the Web, Advertising and Technology space in India and well what’s good for that is good for WATBlog and its readers!