Today we’re taking a roundup look at venture capital across Southeast Asia. India and China continue to lead but other SE Asia countries are starting to see their share of VC interest in the cashback, e-commerce, mobile and tech sectors. Research firm Aranca said 7,773 companies raised more than $19.7 billion in the Asia-Pacific region. Ernst & Young reported $7.7 billion in M & A activity across India in the first three-quarters of 2015, up 18% from year prior. Speaking of money, Tech in Asia lists the 15 richest tech entrepreneurs in SE Asia. KKR and Chernin Group plan to invest $300 million in media investments in India and other SE Asia markets.
Tech in Asia highlights the top 15 best-funded hardware startups in SE Asia. China’s JD.com opens a Silicon Valley office in search of US acquisitions and investments. Preqin Ltd says investments in China and India tripled to $16.9 billion in the first three quarters of 2015.
APAC draws global VC money, with India and China in the lead
Global venture capital (VC) firms are gradually shifting their focus to Asia-Pacific, as the booming technological ecosystem in emerging markets beckons those seeking a share of the pie.
Aranca, a research and analytics services provider, said in a report on global VC trends that the startups in the developed markets, such as the US, continue to attract the attention of VC investors, but “the trend appears to be shifting away from Silicon Valley towards Asia Pacific, where the software publishing, e-commerce and Internet publishing & broadcasting, and web search portal segments are gaining traction.” During 2010 to 2015 period, nearly 7,773 companies raised funds via VC investors in Asia-Pacific. The region also witnessed nine big ticket deals in 2014 raising over $19.7 billion, up nine times from $1.9 billion in 2013. Via dealstreetasia.com
India sees 18% jump in M&As in September quarter
The disclosed value of mergers and acquisitions (M&As) involving Indian companies touched $7.7 billion during the June-September quarter, up 18% from $6.5 billion in the same period a year ago, advisory group EY said. Out of 233 deals in the quarter, the technology sector saw the maximum number of deals at 36, as companies snapped up firms specializing in SMAC (social media, mobile, analytics and cloud) capabilities, the report said.
“Cross-border transactions were a significant driver of the M&A activity. This reflects increased business confidence of global players in the Indian economy and the domestic companies. The M&A activity on the domestic front, though subdued, is expected to pick up over the next few months as the economy continues to improve,” said Amit Khandelwal, partner and national director, EY. India sees 18% jump in M&As in September quarter
Southeast Asia’s 15 richest people in tech
When we talk about the richest Southeast Asians in tech, only a few names come to mind – Jason Chang of Singapore and Goh Peng Ooi of Malaysia are examples. But did you know a lot of the region’s billionaires from other industries are moving into tech?
We looked at Forbes’ 2015 Richest List, took some names coming from Southeast Asia, and put them on this list. Without further ado, here are some of the region’s barons who have tech interests. Southeast Asias 15 richest people in tech
KKR forms over $300M Asian media investment platform with Chernin
Global buyout major KKR has formed an investment platform along with independent American media holding company The Chernin Group, to invest in Asian media and entertainment firms, they said on Tuesday.
Christened Emerald Media, it will focus on providing growth capital ranging from $15-75 million (Rs 100-500 crore) for both control and significant minority positions to media, entertainment, and digital media businesses across the continent. KKR has committed up to $300 million in the venture, from its KKR Asian Fund II. The PE firm had raised a record $6 billion for its second Asia fund two years ago. Via techcircle.vccircle.com
15 top-funded hardware startups in Southeast Asia
This smart gadget revolution is not just taking place in the US, Japan, South Korea, or China, which have given us pretty much all the electronics that we have at home or in our pockets. This time, the field’s open to everyone – and entrepreneurs across Southeast Asia are leaping in. With that in mind, we’ve dug through Tech in Asia‘s extensive company database to create a list of the top 15 best-funded hardware startups in Southeast Asia, taking into account VC funding as well as crowdfunded cash. Via techinasia.com
JD.com Expanding Outside of China
JD.com – the second-largest Chinese B2C with just Alibaba ahead of it – took a leap in faith on Monday, and opened research and development premises in Silicon Valley where online shopping was born. Could this be taking coals to Newcastle? Will anybody listen to the ‘New Boy from China? Venturebeat expects it to get stuck into big-data infrastructure, cloud computing, and mobile applications initially….
JD’s founder and ceo Richard Lui isn’t the slightest bit perturbed that Alibaba opened its second data centre there last week. “Given the scope and strength of American brands, products and capabilities,” he says, “the U.S. was the obvious choice as we sought a location for our first online shopping related office outside of China and Asia. We are excited to increase our US presence by establishing an operation in the heart of Silicon Valley.” Via socialbrandwatch.com
India, China becoming hotbed for global venture capital investments: Report
The region witnessed nine big ticket deals in 2014 raising over $ 19.7 billion, up nine times from $1.9billion in 2013. This trend continued in 2015, and since the turn of the year, the region captured $15.9 billion (a total of 754 investments) in venture capital funding till date. Of the 1,357 VC deals carried out during 2014 in Asia-Pacific, nearly 27% were in software-driven technologies developed by enthusiastic startups to fill the gap in local markets. Startups in the developed markets, such as the US, continue to attract the attention of VC investors.
The report suggests that the trend appears to be shifting away from Silicon Valley towards Asia- Pacific, where the software publishing, e-commerce and Internet publishing and broadcasting, and web search portal segments are gaining traction. In 2014, investment in the US increased nearly 56% to $ 57.1 billion compared with $ 36.6 billion raised in 2013. On the other hand, across the Asia-Pacific region, investment jumped about 311% for the same period. Via timesofindia.indiatimes.com
It’s Not Just Silicon Valley Startups That Raise Billions
Investments in China and India, where most of the big deals are taking place, more than tripled to $16.9 billion in the third quarter, just less than the $17.5 billion invested in North America as of Oct. 1, according to Preqin Ltd., a London-based consultancy. That doesn’t include venture deals in countries such as Japan, meaning Asia’s total is higher. Nine of the ten biggest venture investments were in the region, including separate funding rounds by Chinese ride-hailing service Didi Kuaidi that totaled $3 billion.
The money flowing into Beijing and Bangalore shows the rising competition for Silicon Valley, which has dominated the technology industry from Fairchild Semiconductor International Inc. and Hewlett-Packard Co. to Apple Inc., Google Inc. and Facebook Inc. The largest initial public offering ever was by China’s Alibaba Group Holding Ltd. last year. Venture investors looking for similar success pushed the number of deals in China this year to 1,016, more than in all of 2014. Via bloomberg.com
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