Global private equity company General Atlantic plans to invest $2 billion in India and Southeast Asia over the next two years as falling valuations make startups in the region more attractive, an executive told Reuters. General Atlantic is in initial investment talks with about 15 companies in sectors including technology, financial services, retail and consumer, head of India and Southeast Asia operations Sandeep Naik said in an interview.

The startup market, especially in India, is facing a difficult time. In 2021, the firm raised $35 billion. Still, founders are fighting to attract cash, creating fears of devaluation and forcing them to cut some jobs. In 2021, the firm invested $190 million in Indian startups (the lowest annual figure ever), and the firm is now ready to open its wallet.

General Atlantic’s existing high-profile Indian investments include education technology companies such as Byju’s, which provides online tutoring in a country where internet and smartphone use is booming and is valued at around $22 billion. It has also invested in Reliance Retail, India’s largest retailer. In Southeast Asia, its portfolio includes Indonesian food and beverage retailer PT MAP Boga Adiperkasa and Philippine social entertainment platform Kumu.

Many technology companies worldwide have suffered in recent weeks due to the Ukraine conflict and rising interest rates hurting investor sentiment. Softbank of Japan reported a record loss of $26.2 billion from its Vision Fund investment.

In light of the difficult market environment and declining valuations, General Atlantic has suggested that all its portfolio companies look for opportunities to consolidate.