20 Apr 2025, Sun

Venture capital in 2016: Much more to cheer than despair: Mint

A Mint article by Snigdha Sengupta (@getsnigdha) quotes Venture Intelligence data on VC investments for the 9 month period ending Sep 2016:
Other excerpts from the article:
  1. “… the key takeaway from the past nine months is that investment levels in each quarter have settled in the $300-400 million range, which is closer to the normal for the early-stage investment market than was the case last year.”
  2. “Series A capital, typically the first institutional capital into a start-up that needs to take its product or service to market, has been particularly hard to come by for entrepreneurs …  Series A investments plunged 47.8% in terms of the number of deals struck and 55% in terms of the amount of capital deployed”
  3. With momentum of Seed investments matching 2015 levels combined with the 50% fall in Series A investments “this presents an opportunity (for VCs) to pick and choose from the best assets at more reasonable entry valuations than was available last year.”
  4. Between January and September this year, venture capital firms closed 54 exit deals worth $1.4 billion. That represents a 25.5% increase in the number of deals and a marginal 1.1% rise in the value of deals.

Venture Intelligence is India’s longest serving provider of data and analysis on Private Company Financials, Transactions (private equity, venture capital and M&A) & their Valuations in India.

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