Two old investor favourites — consumer products and enterprise technology — are expected to emerge as sectors of choice for venture capital and private equity in 2017, as they seek to back safe sectors that can assure them good returns. India’s broader consumer internet space, particularly online commerce, has been the preferred sector for risk capital investors for the past three years. But the investors are yet to see any major paydays in the space. The enterprise technology sector has also emerged as a strong investment destination, with existing investors expecting the pace of deal-making to ramp up over the next 12 months. Investors poured in about $1.3 billion over the past 24 months in India’s enterprise technology segment, across 324 deals. The overall consumer sector, excluding consumer internet, received investments of about $11 billion across 481 transactions over the same period. Investors say the long-awaited rollout of the Goods and Services Tax, which is expected to be implemented from April 1, will act as a catalyst for further deal-making.

(Economic Times)