India's top 30 B2B software product firms valued at $ 10.35 billion

Likely to see some larger exits in terms of IPOs or M&A over the next couple of years

The top 30 companies in India's B2B software product industry are valued at Rs 65,500 crore ($ 10.25 billion) with their value in dollar terms growing by 20% and 28% in rupee terms in the nine months to June, a study by iSpirit said on Thursday.

Average enterprise value per employee is climbing toward Silicon Valley levels - the index currently nets out to $ 480,000 per employee for these firms who collectively employ over 21,000 people.

"Vertically-focused offerings in retail, travel, financial services, media have reached scale and we are likely to see some larger exits in terms of IPOs or M&A over the next couple of years," Dev Khare, managing director at LightSpeed Venture Partners said in a blog post on the ispirit site.

The top 30 firms include inMobi, Accelya Kale Solutions, Browserstack, Kayako, Newgensoft and Infrasoft Tech.

"In parallel, we are seeing horizontal offerings targeting global markets emerge and start to breakout of India into the US and other global markets - we are starting to see not only India-based venture funds backing these companies but also Silicon Valley funds coming in once there is initial customer adoption in the US," he wrote.

Four out of five companies in the list have global customers. The good news is that local firms in healthcare servics, technology startups in product commerce and services commerce are buying these products.

"We are also seeing many startups go global from day-one through a desk-selling model, as evidenced by many of the companies in the index. And finally, several startups have moved founders to the US and are succeeding in direct selling models there."