The lack of gender diversity in the venture capital business isn’t a problem that’s restricted to the Valley. India’s venture capital industry also follows in the tradition of being a boys’ club.
The past nine months have been the toughest that the current generation of early-stage investors in this market has faced since it started investing here a little over 10 years ago.
Between 2007 and 2015, venture capital-backed companies in India raised more than $15 billion from a variety of investors including venture capital firms, hedge funds and strategic investors. Flipkart, which started up in 2007, alone accounts for over $3 billion or roughly 20% of the overall capital drawn during this period.
It will be a while before the funding market for India’s startups returns to what many consider the irrational exuberance of 2014 and early 2015. But, the measured pace of investments we have seen so far in 2016 may not be such as bad thing for the long term.
When South African Internet conglomerate Naspers Ltd announced its intent to acquire Citrus Payment Solutions Pvt. Ltd earlier this month, venture capitalists took to social media with rare abandon to talk up the deal. There is indeed much to cheer. Naspers arm PayU Global is buying the Mumbai-based online payments… Read more »
The notice puts a bunch of online platforms such as Bengaluru-based LetsVenture and Tracxn Syndicate, Chennai-based Termsheet and Pune-based Grex Alternative Investments Market in a fix.
About three years ago, TPG Growth founder and managing partner Bill McGlashan relocated from San Francisco to Mumbai for a year to oversee the firm’s investments in emerging markets. TPG Growth is the growth equity and middle market investment arms of global private equity buyouts giant TPG. McGlashan’s year-long India… Read more »
“We will raise a fund next year. I have probably never been so categorical about our fundraising plans,” Matrix Partners founder Avnish Bajaj said in an interview. “The exit environment is good. Given that India has had such a poor track record on exits, we need to fix that first.”
Have start-ups in India become too sexy? Yes, in the opinion of Kishore Biyani, the 56-year-old founder and group chief executive of retail giant Future Group. Biyani, speaking on Wednesday at The Economist India Summit in New Delhi, also said he thinks, according to multiple media reports, that 90% of… Read more »
Inside rounds tend to be less common when the funding environment is on an upswing. While existing investors will usually participate in a portfolio company’s follow-on financing round, both promoters and investors like to get a new investor on board, preferably as the lead.