Fund-raising by Indian Internet firms has risen sharply this year, with some large one agreeing to so-called down-rounds. Indian firms in Internet business raised over $3.8 billion in the first half of the year against $2.7 billion in the whole of 2016, according to data collated by Jefferies India Pvt. It remains to be seen if funds raised crosses the $5.9 billion internet companies raised in the funding frenzy of 2015. Despite this more stringent screening process, the large amounts raised is a heartening sign. Of course, unless firms demonstrate better unit economics as well as sustainable growth, the funding tap may go dry again.

Source: Mint July 03, 2017 03:56 UTC