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Is consolidation on the horizon for Southeast Asia’s tech industry?



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Amit Anand
Contributor

Amit Anand is a founding partner of Jungle Ventures and an early pioneer and leader in the development of Southeast Asia’s venture capital industry.

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The recent IPOs of several tech companies in Southeast Asia might give investors cause to wonder if the time is ripe for exits and consolidation in the region.
If you’re thinking along those lines, you aren’t far off from the truth. An analysis of recent changes in the market reveals four factors that are set to catalyze consolidation in Southeast Asia in the near future.
Startups have cash and are looking to spend it
After fundraising multiple times, there are a number of large and late-stage tech startups that have ample liquidity and are increasingly open to pursuing growth inorganically.

As more tech companies look to the super app business model to retain users and increase monetization, we could expect more inorganic expansion and consolidation in the coming years.

Recent M&A in the region indicates two key strategic considerations influencing acquisitions:

Adding new product segments/verticals or markets into offerings.
Strengthening their existing offerings (verticals or markets).

For instance, Grab acquired Singapore-based robo-advisory start …

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