Mahindra's Bristlecone looks for startup buys
The San Francisco based firm is looking to acquire companies in areas like analytics and the internet-of-things to drive its business.
He added the San Francisco based firm, which is targeting $1 billion in valuation organically in the next three to four years, is looking to acquire companies in areas such as analytics and the internet-of-things to drive its business.
"We have looked at four or five companies this year and we may take steps by the end of this financial year. We've even looked at two Indian startups. They are in a very early stage but we will keep an eye on them, especially the leadership," Khan told ET. He said the company is interested in tapping into the Indian innovation ecosystem, especially now that funding and valuations are calming down. "Now it is easier to evaluate a company on its fundamentals and not get taken in by all the hype. This is a good time to look at Indian startups," he explained.
Venture capital investments in Indian startups fell one-third in the first six months of 2016 compared to that a year ago. According to investors, it is time for Indian startups to go back to basics after a frenzy of funding which started in July 2014 and ended in October 2015.
The Mahindra Group bought a majority stake in Bristlecone in 2004. Khan said the company is growing at 20-30% year on year and expects to reach $1 billion in valuation by 2020.