Insights into Technology Licensing Deals in Agri. sector

My interns, Satish & Monika have been working hard with me to compile data on Technology Licensing deals in Agriculture sector in India for the last 2 months and gather insights on active segments for deal making, valuation methodology, type of entrepreneurs etc.

Finally, they managed to put together 333 (magical, isn't it) active deals in the entire agriculture value chain in India across 18 Agri. Research Institutes.

Interesting Analysis: -

a. Top Segments for deal making: Agri. Machinery, Sericulture & Agri. Inputs

b. Most popular valuation methodology: Cost followed by Cost + Market approach

c. Licensee (Entrepreneurs) category: 67%-SMEs | 31.5%-Corporate | 1.5%-NGO

d. Highest upfront payment per technology: Rs.15,00,000

e. Average Royalty Rate: 2.72% (Min.: 2% | Max.: 5%)

Institutes focusing on high technology such as biochemicals, neem based value added products such as bio pesticides commanded high price whereas technology adaptation in agri. implements commanded a low price which makes perfect commercial sense!!

The full version of the compilation will be put on the blog on Sunday, so watch out for it!!