Google in Buy­out Talks with Star­tups, VC Firms

Co looks at cos cater­ing to next bil­lion in­ter­net users

The Economic Times - - Sports: The Great Games - Mad­hav Chan­chani & Neha Alawadhi

Ben­galuru | New Delh i : Google has be­gun e xploratory t a l ks wit h star­tups and ven­ture capita l in­vestors in t he c ou nt r y in what could lead to its first ac­qui­si­tion of an In­dian c o m p a n y, ac c or d i n g to three p e opl e d i - rectly aware of the mat­ter.

The world’s largest in­ter­net com­pany is seek­ing to di­rectly in­vest in or ac­quire com­pa­nies in In­dia that cater to whom it refers to as the next bil­lion in­ter­net users, these peo­ple said. “Two ma­jor ar­eas of fo­cus for them are prod­ucts for the next bi l l i o n u s e r s and ac­qui-hires in high-tech ar­eas,” one of them said, adding that a trans­ac­tion is not im­mi­nent yet. An­other per­son, an in­vestor, said Google is un­likely to in­vest in con­sumer­in­ter­net com­pa­nies such as on­line re­tail­ers. Google re­cently hired Seema Rao, who was a vice-pres­i­dent at in­vest­ment bank Aven­dus Cap­i­tal, to lead cor­po­rate de­vel­op­ment, or ac­qui­si­tions and strate­gic in­vest­ments, in In­dia and South­east Asia.

T he on l i ne s e a r ch g i a nt dom­i­nates the do­mes­tic dig­i­tal ad­ver­tise­ment mar­ket but its next phase of growth in the coun­try would de­pend on how fast In­dia is able to im­prove its net­work in­fra­struc­ture and ex­pand its num­ber of in­ter­net users.

Google’s fo­cus on tap­ping the next bil­lion in­ter­net users, typ­i­cally in In­dia’s small ci­ties and towns, could see it mak­ing strate­gic in­vest­ments or ac­quir­ing tech­nol­ogy-en­abled firms in the fi­nan­cial ser­vices, health­care, ed­u­ca­tion or mo­bile util­i­ties sec­tors, said the peo­ple men­tioned above.

Google could make in­vest­ments in or ac­quire tech-en­abled firms in the fi­nan­cial ser­vices, health­care ARINDAM Jochelle Men­donca

Newspapers in English

Newspapers from India

© PressReader. All rights reserved.