It’s All about Nuance as It Takes over mCarbon Tech for .₹ 240 cr
New Delhi: Nasdaq-listed voice and speech recognition company Nuance Communications has acquired Noida-based mobile value-added services venture mCarbon Tech Innovations in a cash-and-stock transaction, estimated at about $36 million (.`240 crore).
The deal is the latest example of consolidation taking place in the Indian startup ecosystem, which is expected to see an increasing number of buyouts over the next12 months, even as risk capital investors continue to realign their portfolios, and search for exits. Emails sent to, both, Nuance Communications and mCarbon Tech In- novations, did not elicit any response till the time of going to press. Founded in 2008 by Rajesh Razdan, mCarbon Tech Innovations, which started off focusing on core network value-added services, provides innovative revenue uplift and customer value management products for telecom operators. The company also operates in Bangladesh, Middle East and African regions, and counts Private Equity Group, an investment arm of JP Morgan, among its investors. One of the early backers of the eight year-old company was venture capital firm Canaan Partners.
ET was unable to ascertain the ex- act stake held by the investor at the time of the sale. It is also yet unclear whether the company, which has an employee headcount of over 250, will continue to operate under its current brand name post the acquisition.
Burlington, Massachusetts-headquartered Nuance Communications which counts billionaire investor and activist shareholder Carl Icahn, among its list of investors, is believed to be the company that provided the necessary voicerecognition technology to build Apple’s Siri, the flagship intelligent personal assistant and knowledge navigator for its mobile and tablets. The company, which had earlier acquired advanced speech recognition technology venture Dragon System, competes with the likes of Google, IBM and Microsoft, which have also sunk billions of dollars in R&D, as they look to establish their dominance in the space.