Between March 2006 and Nov 2008, SKS Microfinance received investments of $111 million from Private Equity – the largest by any company in this sector. PE investors in the company (not including pre-IPO placements) include Unitus, Sequoia Capital India, SVB, Sandstone Capital, Vinod Khosla’s Khosla Ventures and Kismet Capital.
March-2006
Unitus and Vinod Khosla invest $0.5 million each for a total stake of 30.18%.
Company Valuation: $3.3 Million
March-2007
Sequoia Capital India, Unitus, Vinod Khosla and Odyssey Capital invest as part of a $12 million round. Shares are issued at Rs.49.77 per share. Of this, Sequoia invests $6.2 M for 20.38% stake, while Unitus and Vinod Khosla invested $1.5 million for 4.95% each; Odyssey Capital invests $1 million for 3.35%.
Company Valuation: $30.3 Million
January-2008
Sequoia Capital India, SVB, Unitus, Kismet Capital and Vinod Khosla invest $23 million for a 28.86% stake. Shares were issued at Rs.70.67 per share. Of this, Sequoia Capital India invests $11 million and Unitus invests $4 million.
Company Valuation: $79.7 Million
September – 2008
Sequoia invests $1.87 million for 1.5% by purchasing 818,069 shares from SKS founder Vikram Akula at Rs. 103.91 per share.
Company Valuation: $124.7 Million
November-2008
Sandstone Capital, Kismet Capital and SVB invest $75 million for 20.58% (upon conversion in Dec-09).
Issue of CCPS to Sandstone worth $40 million (6,256,344 Shares), Kismet Capital $17 million (2,655,131 Shares), SVB $1.5million (244,150 Shares) converted on December- 2009. Also allotment of equity shares to Sandstone for $13 million (2,085,448 Shares), Kismet Capital for $5.5 million (885,044 Shares), SVB for $0.5 million (81,383 Shares) at Rs 300 per share
Company Valuation: $364.4 Million
July -2009
Sequoia (along with SVB) a further $9.8 million for 3% stake by purchasing 2 million shares from Unitus at Rs 240 per share.
The IPO – August 2010
The company sells 16,791,579 shares, over half of which (9,346,256 shares) were sold by existing share holders) diluting 21.6% of the company. Shares are issued at Rs.985 per share
Company Valuation: $738 million
PE Investors who sold as part of IPO
|
Investor |
Number of Share Sold |
Amount Realized via IPO |
Total Investment |
|
Sequoia Capital India |
3,989,703 |
392 |
|
|
Unitus |
1,063,381 |
104 |
25 |
The Returns Each Investor Is Sitting On…
|
Investor |
Value of Shares at IPO (INR Crore) |
Investment (INR Crore) |
Return Multiple* |
|
Sequoia Capital** |
1,384 |
125 |
11.08 X |
|
Sandstone |
822 |
250 |
3.28 X |
|
Vinod Khosla |
417 |
14 |
28.86 X |
|
Kismet Capital** |
361 |
106 |
3.39 X |
|
Unitus** |
364 |
25 |
16.48 X |
* At the time of the IPO and assuming they are able to sell at least at the IPO price.
** Part exited via IPO / prior to IPO
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