The Treaty of Mangalore concluded over four years of conflict known as the Second Anglo-Mysore War, fought primarily between the British East India Company and the Kingdom of Mysore, governed by Sultan Tipu. Following various military engagements, such as the Battle of Pollilur and the Siege of Mangalore, both parties recognized the need for a formal cessation of hostilities. The British, having sustained significant losses and with the political climate in India becoming increasingly complex, sought a resolution that would allow them to regroup and consolidate their positions in the region. Sultan Tipu, known for his resistance against British colonial forces, was also keen to secure peace to recover from the debilitating effects of prolonged warfare.

The negotiations took place in Mangalore, a coastal town in Karnataka, between British representatives led by Colonel Fullerton and Mysore officials. The treaty was finalized after extensive discussions on territorial and trade agreements, underscoring the balance of power in southern India. The treaty allowed for the restoration of captured territories back to Mysore and promised peace for the duration of the treaty, although tensions would simmer for years to come due to unresolved issues regarding sovereignty and regional control. The treaty was signed on March 11, solidifying the end of hostilities and establishing a tense peace.

Sultan Tipu's commitment to defending his kingdom against colonial rule became an enduring legacy, inspiring further resistance against British imperial forces in India. In the aftermath of the treaty, both sides focused on rebuilding and reinforcing their military and economic positions, setting the stage for future conflicts. Notably, the Treaty of Mangalore is often viewed as a temporary respite in the larger context of British expansion in India, as further hostilities would erupt with the subsequent wars against Tipu Sultan, culminating in his eventual defeat in 1799.