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IVCA PRIVATE EQUITY-VENTURE CAPITAL REPORT
Delhi Office:
IVC Association
806, 8th Floor, Akashdeep Building,
26A Barakhamba Road, Connaught Place,
New Delhi – 110001
Mumbai Office:
IVC Association
One Indiabulls Centre, South Annexe,
Tower 2A, 03rd Floor, ISME Ace Senapati Bapat
Marg, Elphinstone Road, Mumbai - 400013
Contact number: 011- 49879305 | 011- 49876992
FEBRUARY 2019 ADVOCAC
Y
RESEARCH
EDUCATIO
N
KONNECT
Missionaries
PE/ VC Report Feedback
Rohan Parulekar - [email protected]
w w w . i v c a . i n
IVCA Membership & Event Sponsorship AakritiBamniyal - [email protected]
Other Queries
IVCA Team - [email protected]
Bangalore Office:
IVC Association
Axilor Transit, 3B, West Wing
Sobha Pearl, No. 1, commissariat
road,
Bangalore 560001
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Section Page No.
1. Executive Summary 3
2. Private Equity Investments 4
3. Venture Capital Investments 8
4. Exits 10
5. Angel Investments 11
6. Investments involving AIFs 12
7. Appendix & Tables 13
TABLE OF
CONTENTS
155 + Members and growing…
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Private Equity Investments & Exits
February 2019 registered 38 Private Equity (PE) investments worth about INR 13,983 Cr ($2 Billion).
The largest investment was the $550 million investment by GIC Holdings and Abu Dhabi Investment Authority (ADIA) in renewable energy firm Greenko.
Energy companies topped the industry table (by value). Mumbai topped the chart for most investments in a city (by value). The month witnessed 5 PE exits that harvested about INR 442 Cr ($62
million). The largest exit (with disclosed value) during the month was the INR 122 Cr
($17 million) exit by Sequoia Capital India from Ujjivan Financial Services.
Venture Capital Investments
February registered 22 deals worth about INR 511 Cr ($72 million). The largest VC investment was the $9.8 million (INR 70 Cr) investment by
A91 Partners in make-up brand Sugar Cosmetics. IT companies topped the industry table (by volume & value). Bangalore topped the chart for highest investments in a city. The month witnessed 4 VC exits that harvested about INR 320 Cr ($45
million).
Angel Investments Super Angels and Angel Networks made 11 investments (compared to 12
deals in February 2018). The largest angel investment involving angel investors was the $3.16
million (INR 22.5 Cr) investment by Lakshmi Narayanan, Monika Garware Modi, Deep Kalra and others in delivery startup Dunzo.
EXECUTIVE SUMMARY
PRIVATE EQUITY INVESTMENTS
Private Equity Investments in February 2019: 38 Deals, $2 Billion (~ INR 13,983 Cr)
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February 2019 witnessed 38 Private Equity (PE) investments worth $2 Billion (about INR 13,983 Cr) compared to 62 investments worth $1.4 Billion (about INR 9,021 Cr) in February 2018. The value of investments increased by 40% from the corresponding period year-ago and 13% compared to the immediate previous month of January 2019 (which registered 58 investments worth $1.7 Billion or ~INR 12,248 Cr) respectively. Note: The PE investment figures in this Report include Venture Capital (VC) type investments, but exclude PE investments in Real Estate.
The largest investment announced in February 2019 was the $550 million investment by GIC Holdings and Abu Dhabi Investment Authority (ADIA) in Hyderabad-based renewable energy firm Greenko Group. (See Appendix for a listing of investments during the month.)
PRIVATE EQUITY INVESTMENTS
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Energy companies topped the industry chart (instead of IT companies) with $880 million led by the investment in Greenko Group.
BFSI companies stood second with $504 million led by $385 million buyout of NBFC Aadhar Housing Finance Limited (AHFL) by Blackstone.
PRIVATE EQUITY INVESTMENTS
6
* See Appendix for stage definitions
PRIVATE EQUITY INVESTMENTS
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Investments by Industry
VENTURE CAPITAL INVESTMENTS
8
VC-type investments* in February 2019 decreased to 22 deals worth $72 million (INR 511 Cr) compared to 39 deals worth $108 million (INR 695 Cr) in February 2018. The value and volume of the investments also decreased by over 40% (by deal volume and deal value) compared to January 2019. The largest VC investment was the $9.8 million (INR 70 Cr) investment by A91 Partners (the newly launched VC firm by former Sequoia Capital India executives) in make-up brand Sugar Cosmetics. (*See appendix for stage definition).
VENTURE CAPITAL INVESTMENTS
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PRIVATE EQUITY EXITS
10
February 2019 saw 5 PE-VC exits that harvested INR 442 Cr ($62 million) - compared to 12 deals that harvested INR 2,645 Cr ($411 Million) in February 2018.
Notable exits during the month include the complete exit by Nexus Venture Partners and Nokia Growth Partners from AI technology startup Indix via a strategic sale to Avalara Inc., and a $17 million public market sale by Sequoia Capital India in microfinance firm Ujjivan Financial Services with a 5x return.
VENTURE CAPITAL EXITS
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Top Angel Investments in February 2019
Company Sector Investors Amount
($ Mn)
Dunzo Utility - Concierge Services
Monika Garware Modi, Lakshmi Narayanan, Deep Kalra, Others 3.2
Pickyourtrail
Online Services (Travel) Rajagopal Subramanian, Shyam Sekhar, Kumar Vembu, Girish Mathrubootham
3
SpotDraft Contract Management Peeyush Ranjan, Girish Mathrubootham, Others 1.5
*Includes share of co-investing Seed/VC investors
Deals involving PE-VC firms which have an Alternative Investment Funds (AIF) vehicle.
ANGEL INVESTMENTS
February 2019 witnessed 4 VC exits that
harvested $45 million (about INR 320 Cr)
compared to 4 deals (that harvested $53
million) in February 2018.
In February 2019, investments by super
angels and angel networks decreased
slightly to 11 compared to 12 deals in
February 2018.
INVESTMENTS INVOLVING AIFs
12
Company Sector Investors Amount
($M)
Ayana Renewable
Power Renewable Power Projects (Solar) NIIF, CDC Group, Everstone 330
Jet Airways Aviation NIIF 198
Hindustan Foods Contract Manufacturing (FMCG) Convergent Finance, Sixth Sense Ventures 14
Fingerlix Packaged Foods (Ready to Cook
Foods) Accel India, Zephyr Peacock, Others 9
Shiksha Finance NBFC Aspada Investments, Michael & Susan Dell
Foundation, Zephyr Peacock 8
SilverPush IT Products (Artificial Intelligence -
Advertising) M&S Partners, Chiratae Ventures, Others 5
HomeLane Interior Design - Modular Kitchens,
Home Products JSW Ventures, Accel India, Sequoia Capital India 5
Open Financial
Technologies Payments - Prepaid Card
Beenext, 3ONE4 Capital, Unicorn India Ventures,
Others 5
Fyle Technologies Enterprise Software (SaaS - Expense
Tracking) Beenext, Pravega Ventures, Tiger Global 4
Dunzo Utility - Concierge Services Blume Ventures, Others 3
SpotDraft Enterprise Software (Contract
Management) 021 Capital, Others 2
Open Appliances IT Products (Security Devices) Axilor Ventures, Unicorn India Ventures, KITVEN,
Others 1
Control Print IT Products (B2B - Printers) Baring India 0.5
AgniKul Cosmos Aviation (Aerospace) Speciale Invest 0.4
Awaaz Content - News – Vernacular Matrix Partners India NA
CloudSEK Enterprise Software (SaaS - Cyber
Security) IDFC Parampara Captial NA
fleetx.io Enterprise Software (Logistics - Fleet
Management) India Quotient, Others NA
Nymble Labs IT Products (Hardware - Robotics) 01VC, WaterBridge Ventures, Others NA
Appendix- Top PE Investments in February 2019
Company Sector Investors Amount(
$M)
13
Company Sector Investors Amount(
$M)
Greenko Group Renewable Power Projects (Multiple
Sources) ADIA, GIC 550
Aadhar Housing Finance NBFC Blackstone 385
Ayana Renewable Power Renewable Power Projects (Solar) NIIF, CDC Group, Everstone 330
Jet Airways Aviation NIIF 198
Max Bupa Health
Insurance Insurance TrueNorth 72
KSH Infra Logistics Services Morgan Stanley 49
Zomato Media Local Search – Restaurants Glade Brook Capital 40
Dr. Agarwals Healthcare Hospitals (Eye Care) Temasek 38
KNR Constructions Infrastructure (Roads) I Squared Capital, IFC 37
Rivigo Marketplace - Trucks Warburg Pincus, SAIF 36
Appendix- Top VC Investments in February 2019
Company Sector Investors Amount
($M)
14
Company Sector Investors Amount
($M)
Sugar Cosmetics Personal Care - Cosmetics A91 Partners 10
Fingerlix Packaged Foods (Ready to Cook
Foods) Accel India, Zephyr Peacock, Others 9
Mintifi Marketplace - Financial Service -
Bill Discounting IFC 8
Shiksha Finance NBFC (School Financing) Aspada Investments, Michael & Susan Dell
Foundation, Zephyr Peacock 8
SilverPush IT Products (Artificial
Intelligence - Advertising) M&S Partners, Chiratae Ventures, Others 5
HomeLane Interior Design - Modular
Kitchens, Home Products
JSW Ventures, Accel India, Sequoia Capital
India 5
Open Financial
Technologies Payments - Prepaid Card
Beenext, 3ONE4 Capital, Unicorn India
Ventures, Others 5
Style Bazaar Apparel & Accessories Rare Enterprises, Others 4
Fyle Technologies Enterprise Software (SaaS -
Expense Tracking) Beenext, Pravega Ventures, Tiger Global 4
Dunzo Utility - Concierge Services Blume Ventures, Others 3
Appendix- Top PE-VC Exits in December 2018
15
Company Sector Exiting Investor Acquirer/Exit Route
Amount ($M)
Ujjivan Financial Services
Banking - Small Finance Bank Sequoia Capital India
Open Market Transaction
17
Indix Enterprise Software (Artificial Intelligence - Product intelligence)
Nexus Venture Partners, Nokia Growth Partners
Avalara NA
Reverie Language Technologies
Enterprise Software (Programming Tools - Regional Languages > Fonts, Rendering, Transliteration)
Qualcomm Ventures, Aspada Investments
Reliance Industries
NA
Culture Machine
Online Services (Content - Videos) Tiger Global, Zodius Capital Rainshine NA
Ineda Systems Semiconductors (Chip Design - Wearable Processor Unit)
Cisco, Walden International, Qualcomm Ventures
Intel Corporation
NA
Appendix: Definitions of Stages-of-company-development used:
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Venture Capital (Early Stage)
1. First / Second Round of institutional investments into companies that are:
2. Less than five years old, AND
3. Not part of a larger business group, AND
4. Investment amount is less than $20 M
Venture Capital (Growth Stage):
1. Third / Fourth Round funding of institutional investments OR
2. First/Second Round of institutional investments for companies that are >5 years old and <10 years old OR
spin-outs from larger businesses, AND
3. Investment amount is less than $20 M
Growth-PE:
1. First-to-Fourth Round Investments >$20 M into companies <10 years old, OR 2. Fifth / Sixth rounds of institutional investments into companies <10 years old
Late Stage:
1. Investment into companies that are over 10 years old, OR 2. Seventh or later rounds of institutional investments
PIPEs:
1. PE investments in publicly-listed companies via preferential allotments / private placements, 2. Acquisition of shares by PE firms via the secondary market
Buyout:
1. Acquisition of controlling stake via purchase of stakes of existing shareholders
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Knowledge Partner
Note: This report aims to provide a snapshot of the transaction
activity for the corresponding period with data available at the
time of its creation. Please refer to Venture Intelligence to
access the latest and most accurate data for your internal
presentations and other requirements.
This report is meant solely for informational purposes, not for
trading purposes or advice. IVCA and Venture Intelligence are
not responsible for decisions, damages or other losses resulting
from the use of the Information.
(C) TSJ Media Pvt Ltd. Any unauthorized distribution of this
report or its contents is a violation of copyright law.
Delhi Office:
IVC Association
806, 8th Floor, Akashdeep Building,
26A Barakhamba Road, Connaught Place,
New Delhi – 110001
Mumbai Office:
IVC Association
One Indiabulls Centre, South Annexe,
Tower 2A, 03rd Floor, ISME Ace Senapati Bapat
Marg, Elphinstone Road, Mumbai - 400013
Contact number: 011- 49879305 | 011-
49876992
E-mail: [email protected]
Bangalore Office:
IVC Association
Axilor Transit, 3B, West Wing
Sobha Pearl, No. 1, commissariat
road,
Bangalore 560001