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January 17, 2017

Why are venture capitalists taking over operations of portfolio firms?: Forbes

A Forbes article quotes Venture Intelligence data on PE/VC investments:
In 2016, as many as 620 transactions were sealed in the PE/VC space, according to data available with research firm Venture Intelligence. Of this, about 65 percent comprised startup investments. In 2015, the year that created history for the highest amount of PE and VC investments both by value and volume, of the total of 775 investments sealed in the January-December period that year, 512 were startup deals.
The article also quotes Arun Natarajan, Founder - Venture Intelligence:
“Prior to 2014-15, investments in startups were never a ‘bet the farm’ phenomenon for PE/VC investors which means, no single investment in the portfolio would affect the whole fund. So, if any particular investment were to go bad, the investor could afford to write it off and move on instead of replacing the management team or running the company themselves,” said Arun Natarajan, Founder, Venture Intelligence. 

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.