Kylee McIntyre · · 4 min read5 big Chinese investments into Indian startups in 2016
Photo credit: goinyk / 123RF Stock Photo
The close of 2015 seemed to leave the next year wide open for collaboration between larger Chinese companies and Indian startups – a handful of Indian startups got funding well into the hundred millions from giants like Alibaba and Tencent.
This year saw those amounts drop. Only one out of the top five companies hit three-digit funding. The other companies had funding in the millions, but it’s still a clear case of two depleted parts adding up to a depleted whole – Indian startups brought in a total US$3.38 billion last year, according to the Tech in Asia Database. That’s an unfathomable amount of money – it’s also only half of what India’s startups collected in 2015. Meanwhile, startup funding in China is also experiencing its own trickle problems.
It’s a pretty clear case of two depleted parts adding up to a depleted whole.
In the meantime, it’s been a mixed bag for those startups that grabbed those huge amounts in 2015. Paytm reaped the benefits when demonetization hit India. Rendering part of the country’s cash useless and a subsequent cash shortage breathed life into fintech startups, which stepped into the limelight in the previously cash-first economy. Snapdeal and Ola, however, both experienced writedowns.
In the midst of all that, where in India did Chinese firms and accelerators decide to stick their funds? Here are the five biggest disclosed Chinese investments in India’s startups last year, according to the Tech in Asia Database.
See: 4 huge Chinese investments in India’s tech startups in 2015
1. Hike
CEO Kavin Mittal. Photo credit: Hike.
India’s homegrown messaging app Hike landed the only investment that hit the hundred millions on this list – US$175 million in series D funding from Tencent and Foxconn, with participation from previous investors Tiger Global, SoftBank, and Bharti Enterprises.
The deal, announced in August, pushed Hike to unicorn status.
Founder and CEO Kavin Mittal is the son of billionaire and Bharti Enterprises chairman Sunil Mittal, who also owns telco Bharti Airtel.
Tencent’s previous investments in India include healthcare Practo, which helps people locate doctors and other health services, as well as order medication.
See: Hike’s Kavin Mittal talks about $175m boost in its battle with WhatsApp
2. Dailyhunt
3. CarDekho
4. IndiaLends
5. KrazyBee
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