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Indian start-ups funded by Chinese investors hit Great Wall of uncertainty

"With the latest escalation, my apprehension is that investments into sensitive sectors may be subject to deeper inspection by the government," said Atul Pandey, a partner at law firm Khaitan & Co

china, chinese, investment, FDI, funding, investors, funds, startups, company, firms, start-ups, venture, equity
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Start-ups, looking to raise capital from Chinese investors would now need to re-work their strategies from scratch (due to FDI restrictions) which will cost them time and money.

Peerzada AbrarSai Ishwar Bengaluru & Mumbai
Chinese investment in Indian start-ups is expected to face major hurdles as Sino-India tension escalates. With both countries locked in a stand-off, India is expected to increase the level of scrutiny of investments coming from China — both directly and indirectly. 

According to experts and industry insiders, this will have major impact on new investments by Chinese players in companies, such as Paytm, Ola, BigBasket, Byju’s, Dream11, MakeMyTrip, and Swiggy, when they go for follow-up funding. Chinese investors, such as Alibaba, Tencent, and Xiaomi, are active in the Indian start-up space, and have collectively invested billions of dollars. “My apprehension