Blume Ventures just released a report on startup exits in India. Here's the breakdown:
Exit Strategies: 3 Main Types
- Secondaries: Quick Cash Options
- Angels exit first, typically under $75M
- Micro-VCs target $75M-$500M range
- Large institutions aim for $500M+, usually 7-8 years in
- M&A: From Small Buys to Big Deals
- Under $20M deals are mostly for talent
- Real returns start at $50M+
- $500M+ deals are rare, need major buyers
- IPOs: The Big League
- More accessible than thought: Even $10-20M revenue companies can list
- SME exchanges offer options for smaller players
- $1B+ listings reserved for top players, usually after a decade
Key Points:
- Patience matters: Big exits often take 7-12 years
- Profitability is crucial: Markets reward it
- IPO boom expected: Projections show 5x increase by 2025
In short: India's startup scene is maturing. Exit options exist, but require strategic long-term thinking. For founders and investors alike, understanding these patterns is key to long-term success.
Full report: https://blume.vc/commentaries/decoding-exit-patterns-in-the-indian-startup-ecosystem-blume-ventures-perspective