Tiger Global only bright spot in a dull SaaS sector

Tiger Global Management is pumping money into software as-a-service (SaaS) startups in India at a time the sector is grinding through a funding slowdown.

The American hedge fund, one of the most prolific startup investors in India, has made a contrarian bet by scooping up stakes in several SaaS startups that provide software services to enterprises and SMEs on a subscription basis.

According to Venture Intelligence data, investors deployed $61 million in 17 SaaS startups in the March quarter, a six-quarter low in both value and volume. The deal value is a sharp 75% lower than the record $251 million clocked in the September quarter.