Record M&A Activity in India's Tech Startup Scene

India's tech startup ecosystem experienced a significant surge in merger and acquisition (M&A) activities during the March quarter, with a total of 45 deals. This marks a 61% increase compared to the same period last year, showcasing a robust recovery and growing investor confidence.

The median acquisition price rose to $16.7 million, up 60.6% from the previous quarter, yet remains below the $53.9-million median of Q1 last year, reflecting a continued adjustment in startup valuations.

Strategic Shifts Amid Global Uncertainties

"Despite ongoing geopolitical tensions and macroeconomic challenges, the Indian tech startup market is showing signs of resilience," noted a Tracxn analyst. The trend towards leaner operations and profitability is making startups more attractive to potential buyers.

This quarter's activity is the highest since the March quarter of 2023, indicating a positive shift in strategic decision-making within the ecosystem.