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ADVOCACY
RESEARCH
EDUCATION
KONNECT
KONNECT
IVCA PRIVATE EQUITY -
VENTURE CAPITAL REPORT
JUL-SEP 2019
NEW DELHI | MUMBAI | BANGALORE
CONTENTS
Executive Summary
Private Equity Investments
Venture Capital Investments
Exits
Angel Investments
Investments involving AIFs
Appendix & Tables
03
04
09
12
16
17
17
150+ MEMBERS & GROWING..
Fund Raising Activity
Venture Debt Monitor
19
20
Executive Summary
Private Equity(1) Investments & Exits
Q3 2019 witnessed 167 Private Equity (PE) investments worth ₹72,152 Cr ($10.2 Billion).
The largest PE investment announced was Brookfield's ₹25,215 Cr ($3.66 Billion) buyout of Reliance
Tower Infrastructure Trust.
Funds with AIFs vehicles participated in 62 investments representing 37% of overall investments
Telecom company topped the industry table (by value) followed by IT & ITeS.
Investments sized $25-50 million increased by 43% compared to Q3 2018.
Mumbai topped the chart for highest investments (by value) in a City.
Q3 2019 saw 46 PE exits that harvested ₹22,696 Cr ($3.2 Billion).
The largest exit was the ₹10,563 Cr ($1.5 Billion) part exit by investors from OYO Rooms.
India-focused funds raised ₹6,936 Cr across 10 funds.
Venture Capital (1) Investments & Exits
Q3 2019 witnessed 89 VC investments worth ₹2,748 Cr ($390 million).
Largest VC investments were $20 million investments in real estate marketplace Square Yards and
meat delivery company FreshToHome.
Funds with AIFs vehicles participated in 46 investments.
IT & ITES companies topped the industry table (by volume & value).
Mumbai overtook Bangalore for highest investment (by value and volume) in a City.
Q3 2019 saw 20 VC exits that harvested ₹13,389 Cr ($1.9 Billion).
Angel Investments
Investments by Super Angels and Angel Networks decreased to 56 deals (compared to 79 deals
in Q3 2018).
The largest investment involving angel investors was the $10 million (₹71 Cr) investment by
AngelList syndicate Better Capital with participation from Info Edge, Incubate Fund, Akatsuki AET
Fund and NPTK Emerging Asia Fund in Indore-based B2B commerce startup ShopKirana.
Private Equity Investments
Q3 2019 registered 167 Private Equity (PE) investments worth about ₹72,152 Cr ($10.2
Billion). The investment value increased by 8% compared to the same period in 2018
(which registered 218 investments worth ₹66,499 Cr or $9.5 Billion) and by 63%
compared to the immediate previous quarter (which had witnessed 211 investments
worth ₹43,692 Cr or $6.3 Billion).
Private Equity Investments in Q3 2019: 167 Deals, $10.2 Billion (₹72,152 Cr)
The largest PE investment announced during the quarter was Brookfield's ₹25,215 Cr
($3.66 Billion) buyout of Reliance Tower Infrastructure Trust. This was followed by
Baring Asia's $880 million buyout of healthcare IT company CitiusTech. The third largest
investment was the $586 million investment led by Tencent, Lightspeed Ventures, DST
Global and Altimeter Capital in B2B E-commerce company Udaan.
Funds with AIF vehicles participated in 62 PE investments worth ₹6,730 Cr ($956 million).
The largest investment in the category was the $130 million investment by Goldman
Sachs, Go-Jek, Coatue Management, and others in cloud kitchen brand Rebel Foods.
4
$9.5 B $8.2 B $10.2 B $6.3 B $10.2 B
218202 205 211
167
0
50
100
150
200
250
$ B
$2 B
$4 B
$6 B
$8 B
$10 B
$12 B
Q3 18 Q4 18 Q1 19 Q2 19 Q3 19
Amount($B) Deals
Private Equity Investments
Telecom Company topped the industry chart with the sole investment of Brookfield in
Reliance Tower Infrastructure Trust for $3.7 Billion .
IT & ITES companies stood second with investments worth $3.6 Billion led by Baring Asia's
$880 million buyout of healthcare IT Company CitiusTech. This was followed by the $586
million investment in B2B E-Commerce startup Udaan.
BFSI companies came third with investments worth $845 million led by the ₹2,100 Cr ($292
million) investment by PremjiInvest and Advent International in publicly listed Aditya Birla
Capital. This was followed by the ₹879 Cr ($123 million) investment by Steadview Capital,
WestBridge and Sequoia Capital India in affordable housing financing company Aptus
Value Housing Finance India.
5
$3.6 B
$1.7 B
$0.1 B
$0.5 B
$3.7 B $3.6 B
$0.8 B$0.6 B
$0.4 B $0.3 B
Telecom IT & ITES BFSI Education Energy Travel &Transport
By IndustryQ3 2018 Q3 2019
Private Equity Investments
6
$0.4 B
$2.6 B
$2.7 B
$0.7 B
$2.4 B
$0.3 B
$0.4 B
$2.4 B
$1.9 B
$0.4 B
$5.1 B
VC
Growth-PE
Late
PIPE
Buyout
Other
By Stage
Q3 2018 Q3 2019
104
17
21
24
14
19
19
65
19
12
16
20
16
19
<$5 M
$5M -10M
$10M -15M
$15M-25M
$25M-50M
$50M-100M
$100M+
By Size
Q3 2018 Q3 2019
$3.0 B
$1.4 B
$2.4 B
$0.7 B
$1.6 B
$0.3 B
$5.6 B
$2.0 B
$1.2 B
$0.5 B$0.3 B $0.3 B
$0.1 B $0.2 B
Mumbai Bangalore NCR Delhi Hyderabad Pune Chennai Bhopal Others
By RegionQ3 2018 Q3 2019
Private Equity Investments
7
90
95
100
105
110
115
120
125
0
500
1,000
1,500
2,000
2,500
3,000
3,500
4,000
Q3 18 Q4 18 Q1 19 Q2 19 Q3 19
IT & ITeS
Amount($M) Deals
0
5
10
15
20
25
0
500
1,000
1,500
2,000
2,500
Q3 18 Q4 18 Q1 19 Q2 19 Q3 19
BFSI
Amount($M) Deals
0
2
4
6
8
10
12
14
16
18
20
0
100
200
300
400
500
600
700
800
900
1,000
Q3 18 Q4 18 Q1 19 Q2 19 Q3 19
Healthcare & Lifesciences
Amount($M) Deals
0
2
4
6
8
10
12
0
20
40
60
80
100
120
Q3 18 Q4 18 Q1 19 Q2 19 Q3 19
Food & Beverages
Amount($M) Deals
Private Equity Investments
8
0
1
2
3
4
5
6
7
8
9
10
0
500
1,000
1,500
2,000
2,500
3,000
Q3 18 Q4 18 Q1 19 Q2 19 Q3 19
Energy
Amount($M) Deals
0
1
2
3
4
5
6
7
8
9
0
100
200
300
400
500
600
700
Q3 18 Q4 18 Q1 19 Q2 19 Q3 19
Education
Amount($M) Deals
0
1
1
2
2
3
3
4
4
5
0
50
100
150
200
250
300
350
400
Q3 18 Q4 18 Q1 19 Q2 19 Q3 19
Retail
Amount($M) Deals
0
1
2
3
4
5
6
0
100
200
300
400
500
600
700
Q3 18 Q4 18 Q1 19 Q2 19 Q3 19
Engg. & Construction Amount($M) Deals
Venture Capital Investments
Q3 2019 recorded 89 VC-type(1) investments worth $390 million (₹2,748 Cr) compared to
122 investments worth $442 million (₹3,074 Cr). The investment volume fell about 27%
compared to the same period in 2018 (which registered 122 investments worth ₹3,100 Cr
or $442 million) and to the immediate previous quarter (which had witnessed 123
investments worth ₹3,824 Cr or $550 million).
The largest VC investments were the $20 million (₹140 Cr) investments in online fresh fish
and meat retailer FreshtoHome led by Iron Pillar with participation from Joe Hirao and
CE-Ventures and in real estate brokerage platform Square Yards by Bennett Coleman &
Co Limited (BCCL), Genkai Capital and others.
The second largest investment was the $18 million (₹127 Cr) Series B round in CRM for
financial services startup Vymo led by Emergence Capital, with participation from existing
investors.
Funds with AIF vehicles participated in 46 VC investments worth $198 million (₹1,396 Cr).
Venture Capital Investments in Q3 2019: 89 Deals, $390 Million (₹2,748 Cr)
9
$442 M $451 M $468 M $550 M $390 M
122 117
137
123
89
0
20
40
60
80
100
120
140
160
$ B
$10 0 B
$20 0 B
$30 0 B
$40 0 B
$50 0 B
$60 0 B
Q3 2018 Q4 2018 Q1 2019 Q2 2019 Q3 2019
Amount($B) Deals
Venture Capital Investments
10
83
85
26
67
4 4 3
11
IT & ITES F&B Healthcare Travel & Transport Others
By Industry
Q3 2018 Q3 2019
0%
25%
50%
75%
100%
Q32018
Q42018
Q12019
Q22019
Q32019
Early Growth
Venture Capital Investments
11
67
26
12 116
40
22
138 6
<$2 M $2-5 M $5-10 M $10-15 M $15M+
Q3 2018 Q3 2019
20
51
29
36
13
2320 19
6 7
14
Mumbai Bangalore NCR Delhi Hyderabad Pune Others
Q3 2018 Q3 2019
Private Equity Exits
Q3 2019 saw 46 PE-VC exits that harvested ₹22,696 Cr ($3.2 Billion). The exit value
increased by 11% compared to the same period in 2018 (which registered 57 exits worth
₹50,501 Cr or $2.9 Billion) and by 33% compared to the immediate previous quarter
(which had witnessed 42 exits worth ₹17,077 Cr or $2.5 Billion).
The largest exit during the period was the sale of shares worth ₹10,563 Cr ($1.5 Billion) in
OYO Rooms by Lightspeed Venture Partners and Sequoia Capital India. The transaction
provides Lightspeed Ventures, a 50x return.
The second largest exit was the $326 million complete exit by General Atlantic from
healthcare analytics company CitiusTech via a secondary sale to Baring Private Equity
Asia.
The third largest exit was the ₹1,378 Cr ($192 million) complete exit by Warburg Pincus in
publicly listed ICICI Lombard General Insurance via a open market transaction.
Private Equity Exits in Q3 2019: 46 Deals, $3,223 million (₹22,696 Cr)
12
$2.9 B $3.4 B $1.7 B $2.5 B $3.2 B
57
4851
4246
0
10
20
30
40
50
60
$ B
$1 B
$1 B
$2 B
$2 B
$3 B
$3 B
$4 B
$4 B
Q3 2018 Q4 2018 Q1 2019 Q2 2019 Q3 2019
Amount($B) Deals
Private Equity Exits
13
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
Q3'18 Q4'18 Q1'19 Q2'19 Q3'19
Other
Textiles & Garments
Healthcare
Hotels & Resorts
Education
Logistics
BFSI
IT & ITES
13
31
13
4 3
13
24
9
2 2
<1x 1-3x 3-5x 5-10x >10x
PE Exits by Return Multiple
Q3 2018 Q3 2019
Private Equity Exits
14
$1.8 B
$0.9 B
$0.2 B
$1.0 B
$0.5 B
$0.1 B
$1.6 B
Secondary Sale Public Market/IPO Strategic Sale Buyback
By TypeQ3 2018 Q3 2019
Venture Capital Exits
Q3 2019 witnessed 20 VC exits that harvested $1.9 Billion (about ₹13,389 Cr).
The largest VC exit was the ₹10,563 Cr ($1.5 Billion) part exit by investors from OYO
Rooms.
The second largest VC exit was the $115 million exit by Nexus Venture Partners and
Multiples PE from logistics company Delhivery via a secondary sale to Canada Pension
Plan Investment Board (CPPIB).
Venture Capital Exits in Q3 2019: 20 Deals, $1.9 Billion (₹13,389 Cr)
15
$0.7 B$0.8 B
$0.4 B
$0.2 B
$1.9 B
2725 24
15
20
-2
3
8
13
18
23
28
33
$0. 0 B
$0. 2 B
$0. 4 B
$0. 6 B
$0. 8 B
$1. 0 B
$1. 2 B
$1. 4 B
$1. 6 B
$1. 8 B
$2. 0 B
Q3 2018 Q4 2018 Q1 2019 Q2 2019 Q3 2019
Amount($B) Deals
Fund Raising Activity
India-focused funds raised ₹6,936 Cr ($985 million) across 10 funds in Q3 2019 - a 59%
decrease (in value terms) compared to ₹17,009 Cr ($2.4 Billion) across 12 funds in the
same period in 2018.
Asia-focused mid market private equity firm Creador made a final close with
commitments of $554 million for its fourth fund, Creador IV.
Alternative assets manager Investcorp closed its maiden India-focused private equity (PE)
fund at ₹1,000 Cr (around $150 million).
Alteria Capital, which provides loans to startups, closed its maiden venture debt fund with
a corpus of $140 million (₹960 Cr).
16
$2.4 B $0.9 B $3.3 B $0.8 B $1.0 B
12 12
9 910
0
2
4
6
8
10
12
14
0
0.5
1
1.5
2
2.5
3
3.5
Q3 2018 Q4 2018 Q1 2019 Q2 2019 Q3 2019
Amount($B) No. of Funds
Venture Debt
Angel Investments
17
Angel Investments
In Q3 2019 super angels and angel networks
made 56 investments.
The largest angel investment involving angel
investors was the $10 million (₹71 Cr)
investment by AngelList syndicate Better
Capital with participation from Info Edge,
Incubate Fund, Akatsuki AET Fund and NPTK
Emerging Asia Fund in Indore-based B2B
commerce startup ShopKirana.
79
4233 46
56
Q3 2018 Q4 2018 Q1 2019 Q2 2019 Q3 2019
15
20
14 14
8
$ B
$5 B
$10 B
$15 B
$20 B
$25 B
Q3 2018 Q4 2018 Q1 2019 Q2 2019 Q3 2019
Venture Debt
Deals
Annual PE-VC Investments
Including the investment activity in the latest quarter, 2019 raised $26.7 Billion (₹1,87,272
Cr) across 583 deals.
Private Equity in 2019: 583 Deals, $26.7 Billion (₹1,87,272 Cr)
18
0
250
500
750
1000
$ B
$10 B
$20 B
$30 B
$40 B
2010 2011 2012 2013 2014 2015 2016 2017 2018 2019
Projected ($B) Amount($B) Deals Projected
Top Investments involving AIFs in Jul - Sep 2019
*Deal value includes share of Non-AIF investors participating in the round.
19
Company Sector Investors Amount(US$M)
Faasos E-Commerce (Consumer Shopping - Food Ordering)Go-Jek, Coatue Management, Goldman Sachs,
Others130
Aptus Value Housing
Finance IndiaNBFC (Home Loans)
Steadview Capital, WestBridge, Sequoia Capital
India, Others123
Lenskart.com Online Services (Shopping - Eyewear & Accesories) Kedaara Capital 109
Spinny Online Services (Marketplace - Pre Owned Cars) Fundamentum, Accel India, SAIF, Others 50
Stanza Living Online Services (Aggregator - Hostels)Falcon Edge Capital, Accel India, Matrix Partners
India, Sequoia Capital India50
Future Lifestyle
FashionsDiscount Retail (Branded Apparel) AION Capital 44
Vedantu Online Services (Remote Tutoring)Trifecta Capital, WestBridge, Omidyar Network,
Accel India, Tiger Global, Others42
Clix Capital NBFC AION Capital 40
OfBusiness Marketplace (SME Loans) Falcon Edge Capital, Matrix Partners India, Norwest 35
Lendingkart NBFC (SME Loans)Sistema Asia Fund, Bertelsmann India Investments,
India Quotient, Temasek33
Dailyhunt Consumer App (Content - News Aggregator) Sofina, Goldman Sachs 25
BTI Payments Payment Services (ATM and POS services) ICICI Venture, Others 21
Indifi Online Services (Marketplace - SME Loans)Elevar Equity, Omidyar Network, CDC Group, Accel
India, Others21
Freshtohome E-Commerce (Consumer Shopping - Sea Food) Joe Hirao, CE-Ventures, Iron Pillar, Others 20
Square Yards Online Services (Marketplace - Real Estate) Genkai Capital, Reliance Capital, Others 20
Capital Small Finance
BankBanking (Small Finance Bank) Pi Ventures, Amicus Capital, Others 19
Company Sector Investors Amount(US$M)
Reliance Tower Infrastructure Trust Telecom Infrastructure (Towers) Brookfield 3660
CitiusTech Enterprise Software (Healthcare) Baring Asia 880
Udaan E-Commerce (Marketplace - B2B)Altimeter Capital, Tencent, Hillhouse Capital, DST
Global, Lightspeed Ventures, Others586
Greenko GroupRenewable Power Projects (Multiple
Sources)ADIA, GIC 392
Aditya Birla Capital Financial Services PremjiInvest, Advent International, Others 292
Ola Electric Mobility Mobility (Electric) SoftBank Corp 250
EuroKids International Pre-Schools KKR 210
Aakash Educational Services Test Preparation Blackstone 208
Indecomm Global Services BPO (Product Engineering) Warburg Pincus 200
Byjus Classes Test PreparationOwl Ventures, Qatar Investment Authority, General
Atlantic, Others150
FaasosE-Commerce (Consumer Shopping -
Food Ordering)Go-Jek, Coatue Management, Goldman Sachs, Others 130
Meesho M-Commerce (Consumer Shopping)RPS Ventures, Shunwei Capital, Naspers, VH Capital,
Sequoia Capital India, SAIF, Others125
Aptus Value Housing Finance India NBFC (Home Loans)Steadview Capital, WestBridge, Sequoia Capital India,
Others123
CredConsumer App - Payments - Credit
Card Rewards
Lakestar, Hillhouse Capital, Ribbit Capital, Greenoaks
Capital, DST Global, Dragoneer Investment Group, RTP
Global, General Catalyst Partners, Tiger Global,
Sequoia Capital India
120
DFM Foods Packaged Foods Advent International 119
Appendix - Top PE Investments in Jul - Sep 2019
20
Appendix - Top PE Exits in Jul - Sep 2019
21
Company Sector Exiting Investor Acquirer Amount(US$M)
Oyo RoomsOnline Services (Aggregator - Budget
Hotels) Sequoia Capital India, Lightspeed Ventures Founders 1500
CitiusTech Enterprise Software (Healthcare) General Atlantic Baring Asia 326
ICICI Lombard General
InsuranceInsurance Warburg Pincus Nil 192
EuroKids International Pre-Schools Gaja Capital, Partners Group KKR 163
Delhivery Logistics Services (E-Commerce) Nexus Venture Partners, Multiples PE CPPIB 115
Indecomm Global
ServicesBPO (Product Engineering) Capital Square Partners Warburg Pincus 110
Spandana Sphoorty
FinancialMicrofinance
Helion Ventures, Valiant Capital, Kedaara
Capital Nil 86
SBI Life Insurance
CompanyInsurance (Life) KKR Nil 73
SBI Life Insurance
CompanyInsurance (Life) KKR Nil 60
Future Supply Chain Logistics Services SSG Capital Nippon Express 55
Appendix - Definitions of Stages Used
Venture Capital:
Early Stage
First / Second Round of institutional investments into companies that are:
Less than five years old, AND
Not part of a larger business group, AND
Investment amount is less than $20 M
Growth Stage:
Third / Fourth Round funding of institutional investments OR
First/Second Round of institutional investments for companies that are >5 years
old and <10 years old OR spin-outs from larger businesses, AND
Investment amount is less than $20 M
Private Equity:
PE investment figures in this Report include Venture Capital (VC) type investments, but
exclude PE investments in Real Estate.
Growth-PE:
First-to-Fourth Round Investments >$20 M into companies <10 years old, OR
Fifth / Sixth rounds of institutional investments into companies <10 years old
Late Stage:
Investment into companies that are over 10 years old, OR
Seventh or later rounds of institutional investments
PIPEs:
PE investments in publicly-listed companies via preferential allotments / private
placements,
Acquisition of shares by PE firms via the secondary market
Buyout:
Acquisition of controlling stake via purchase of stakes of existing shareholders
22
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