Unicorns in South and SE Asia need to reduce cash burn: S&P Global

120

Unicorns in South and Southeast Asia are finding it difficult to turn around operations due to the pandemic’s impact and competition, said a recent S&P Global report reminding businesses that “cash does not last forever”.

Unicorns—a privately held startup valued at over $1 billion—are at crossroads and will be prioritising, it said. Such start-ups are now following traditional firms in cutting costs, rationalising or exiting business segments where they don’t have competitive advantage.

“They need to choose between aggressively expanding to reach economies of scale or focusing on reigniting their businesses. Cash does not last forever. The start-ups can’t continue spending if operational turnarounds are delayed and cash balances are narrowing while fund-raising remains difficult.”

Unicorns have taken initiatives in recent quarters to achieve financial sustainability, such as centralising or rationalising operations. Some start-ups have taken dramatic steps to rein in spending, including layoffs. Cash preservation has become priority as raising funds becomes challenging

The report cited the example of India-based ANI Technologies, which operates cab aggregator Ola, for decisions taken to turn around operations. “The company has scaled back its growth aspirations overseas and non-mobility expansion to achieve profitability. The mobility business has surpassed pre-COVID levels and maintained profitability on a segmental basis,” it said.

“A further pivot came only months after ANI Technologies undertook a US$500 senior secured loan in January 2022. In August 2022, it repurchased US$350 million of the loan to reduce the negative carry on the back of lower capital requirements,” it added.

As per the report, these developments suggest that more unicorns could focus on turning around core operations at the expense of expanding their presence in new markets or vertical segments.

About The Author

120 thoughts on “Unicorns in South and SE Asia need to reduce cash burn: S&P Global

  1. I’ve been surfing on-line more than 3 hours these days, yet I never found any interesting article like yours. It¦s beautiful worth sufficient for me. Personally, if all website owners and bloggers made good content as you probably did, the internet can be a lot more helpful than ever before.

  2. I like this web site very much, Its a really nice spot to read and obtain info . “Anyone can stop a man’s life, but no one his death a thousand doors open on to it. – Phoenissae” by Lucius Annaeus Seneca.

  3. Great web site. A lot of helpful information here. I am sending it to several buddies ans additionally sharing in delicious. And naturally, thanks to your effort!

  4. I’ve been absent for a while, but now I remember why I used to love this website. Thank you, I will try and check back more frequently. How frequently you update your site?

  5. Have you ever considered creating an ebook or guest authoring on other blogs? I have a blog based on the same information you discuss and would love to have you share some stories/information. I know my viewers would value your work. If you are even remotely interested, feel free to shoot me an e mail.

  6. Hi there would you mind sharing which blog platform you’re working with? I’m looking to start my own blog in the near future but I’m having a tough time making a decision between BlogEngine/Wordpress/B2evolution and Drupal. The reason I ask is because your design seems different then most blogs and I’m looking for something unique. P.S Apologies for getting off-topic but I had to ask!

  7. Throughout the great scheme of things you’ll receive an A for effort and hard work. Exactly where you actually lost me personally was on all the specifics. You know, as the maxim goes, details make or break the argument.. And that could not be more true in this article. Having said that, permit me say to you just what exactly did give good results. Your article (parts of it) is definitely highly persuasive and that is probably the reason why I am making an effort in order to comment. I do not really make it a regular habit of doing that. Second, even though I can certainly notice a jumps in reasoning you make, I am definitely not sure of just how you appear to connect your ideas that make the final result. For right now I shall yield to your position but hope in the foreseeable future you actually connect the facts much better.

  8. Thank you for another magnificent post. Where else could anybody get that kind of information in such a perfect way of writing? I have a presentation next week, and I am on the look for such information.

  9. Thanks , I have just been looking for information about this topic for a long time and yours is the greatest I’ve came upon till now. But, what concerning the bottom line? Are you positive concerning the supply?

  10. Hiya, I’m really glad I’ve found this info. Today bloggers publish only about gossips and internet and this is really irritating. A good blog with exciting content, that is what I need. Thanks for keeping this web site, I’ll be visiting it. Do you do newsletters? Cant find it.

  11. hey there and thanks on your info – I have certainly picked up something new from proper here. I did alternatively experience several technical issues the usage of this site, since I skilled to reload the web site a lot of instances previous to I may just get it to load correctly. I were wondering in case your web host is OK? No longer that I’m complaining, but sluggish loading cases instances will sometimes have an effect on your placement in google and could harm your high-quality score if advertising and ***********|advertising|advertising|advertising and *********** with Adwords. Anyway I’m adding this RSS to my e-mail and can glance out for much more of your respective intriguing content. Ensure that you replace this again soon..

  12. Good web site! I really love how it is simple on my eyes and the data are well written. I’m wondering how I might be notified when a new post has been made. I’ve subscribed to your RSS which must do the trick! Have a nice day!

  13. Magnificent goods from you, man. I’ve understand your stuff previous to and you are just too excellent. I really like what you’ve acquired here, really like what you are saying and the way in which you say it. You make it entertaining and you still care for to keep it wise. I cant wait to read much more from you. This is really a wonderful site.

  14. My brother recommended I might like this blog. He was once totally right. This publish truly made my day. You cann’t believe just how a lot time I had spent for this information! Thank you!

  15. I am not sure where you are getting your info, but great topic. I needs to spend some time learning more or understanding more. Thanks for excellent info I was looking for this info for my mission.

  16. Excellent post. I was checking constantly this blog and I’m impressed! Extremely helpful info specifically the last part 🙂 I care for such information much. I was looking for this certain information for a very long time. Thank you and good luck.

  17. Valuable info. Lucky me I found your web site by accident, and I am shocked why this accident did not happened earlier! I bookmarked it.

  18. I am curious to find out what blog platform you are working with? I’m having some minor security issues with my latest blog and I would like to find something more safe. Do you have any recommendations?

  19. My brother suggested I might like this website. He used to be totally right. This publish actually made my day. You can not consider simply how a lot time I had spent for this info! Thank you!

  20. I have been exploring for a little for any high-quality articles or blog posts on this sort of area . Exploring in Yahoo I at last stumbled upon this website. Reading this info So i am happy to convey that I’ve an incredibly good uncanny feeling I discovered exactly what I needed. I most certainly will make sure to do not forget this site and give it a glance on a constant basis.

  21. This design is spectacular! You obviously know how to keep a reader entertained. Between your wit and your videos, I was almost moved to start my own blog (well, almost…HaHa!) Fantastic job. I really loved what you had to say, and more than that, how you presented it. Too cool!

  22. Nice post. I learn something more challenging on different blogs everyday. It will always be stimulating to read content from other writers and practice a little something from their store. I’d prefer to use some with the content on my blog whether you don’t mind. Natually I’ll give you a link on your web blog. Thanks for sharing.

  23. I’m writing to let you know of the awesome discovery our girl undergone checking your blog. She learned several issues, most notably what it is like to possess a very effective helping style to have certain people quite simply know just exactly specified very confusing matters. You really did more than her desires. Thanks for distributing such precious, dependable, revealing and easy tips on that topic to Julie.

  24. Thanks for the good writeup. It in fact used to be a amusement account it. Look complicated to more introduced agreeable from you! By the way, how can we be in contact?

  25. Very wonderful info can be found on blog. “Society produces rogues, and education makes one rogue more clever than another.” by Oscar Fingall O’Flahertie Wills Wilde.

  26. Great ?V I should certainly pronounce, impressed with your web site. I had no trouble navigating through all tabs and related information ended up being truly easy to do to access. I recently found what I hoped for before you know it at all. Reasonably unusual. Is likely to appreciate it for those who add forums or something, website theme . a tones way for your client to communicate. Nice task..

  27. Excellent blog! Do you have any hints for aspiring writers? I’m planning to start my own blog soon but I’m a little lost on everything. Would you propose starting with a free platform like WordPress or go for a paid option? There are so many choices out there that I’m completely confused .. Any recommendations? Thanks a lot!

  28. Great wordpress blog here.. It’s hard to find quality writing like yours these days. I really appreciate people like you! take care

  29. This is the correct blog for anyone who needs to search out out about this topic. You notice so much its virtually laborious to argue with you (not that I truly would need…HaHa). You undoubtedly put a brand new spin on a subject thats been written about for years. Great stuff, simply nice!

  30. Hello just wanted to give you a quick heads up and let you know a few of the pictures aren’t loading properly. I’m not sure why but I think its a linking issue. I’ve tried it in two different web browsers and both show the same results.

  31. Thanks for another informative website. Where else could I get that type of information written in such a perfect way? I’ve a project that I am just now working on, and I’ve been on the look out for such information.

  32. After study a few of the blog posts on your website now, and I truly like your way of blogging. I bookmarked it to my bookmark website list and will be checking back soon. Pls check out my web site as well and let me know what you think.

  33. I am extremely impressed with your writing skills as well as with the layout on your weblog. Is this a paid theme or did you customize it yourself? Anyway keep up the excellent quality writing, it is rare to see a nice blog like this one nowadays..

  34. I have been exploring for a little for any high-quality articles or weblog posts on this kind of area . Exploring in Yahoo I at last stumbled upon this web site. Reading this info So i am glad to show that I’ve an incredibly excellent uncanny feeling I found out exactly what I needed. I so much indubitably will make certain to don’t overlook this web site and provides it a look on a constant basis.

  35. Hiya very cool blog!! Man .. Excellent .. Superb .. I’ll bookmark your site and take the feeds also…I’m satisfied to find so many useful info right here within the put up, we’d like work out more techniques on this regard, thank you for sharing.

Leave a Reply

Your email address will not be published. Required fields are marked *