Insights Recap: How Tech Buyout is Addressing VC Liquidity Needs

Blog Post

By: Lindsay Sharma,

📢 Unlocking Liquidity Through Small-Cap Tech Buyout

Over the last six years, we’ve focused on the lower-middle market through our Tech Buyout Funds, tapping into the growing trend of venture-backed exits via private equity which now accounts for over 22% of all VC exits. Today, with VC liquidity challenges, smaller companies increasingly rely on PE for liquidity as platform investments or add-ons. We expect this trend to grow, and our Tech Buyout strategy is uniquely positioned to capitalize on it.

💡 Explore Our Insights:

In Search of Liquidity: How GPs use PE to maintain returns in an illiquid market. Read here.
Growth of Venture Buyouts: How PE is transforming VC exits. Full article here.
Superior Returns in Small Tech Buyout: Why specialized expertise drives success. More here.
Small Tech Buyout: An Attractive PE Opportunity: Tapping down-market efficiencies for outsized returns. Full article here.
Creating Value Post-VC: Operational and growth strategies fuel VC backed businesses for exit to larger PE firms. Read more here.
Our Initial Insights on The Buyout Exit: Our 2018 prediction on buyouts as a new VC exit. Explore our insights here.

Footnotes

This material does not constitute financial, investment, tax or legal advice (or an offer of such advisory services) and should not be viewed as advice or recommendations (or an offer of advisory services).

Certain information contained herein (including certain forward-looking statements and information) has been obtained from published sources and/or prepared by other parties, which in certain cases has not been updated through the date hereof. While such sources are believed to be reliable, neither Industry Ventures and any general partner affiliated with Industry Ventures or any of its respective directors, officers, employees, partners, members, shareholders, or their affiliates, or any other person, assumes any responsibility for the accuracy or completeness of such information.

Disclosures

The views set forth herein are solely those of the authors and do not necessarily reflect the views of Industry Ventures. The information and views expressed are generic in nature and are not an offer to sell or the solicitation of an offer to purchase interests in any investments or services. Certain information contained in this article may constitute “forward-looking statements.” Any projections or other estimates contained herein, including estimates of returns or performance, are “forward looking statements” and are based upon certain assumptions that may change. Due to various risks and uncertainties, actual events or results may differ materially from those reflected or contemplated in such forward-looking statements. There can be no assurance that the forward-looking statements made herein will prove to be accurate, and issuance of such forward-looking statements should not be regarded as a representation by Industry Ventures, or any other person, that the objective and plans of Industry Ventures will be achieved. All forward-looking statements made herein are based on information presently available to the management of Industry Ventures and Industry Ventures does not undertake to update any forward-looking statement that may be made from time to time by or on behalf of Industry Ventures.

Certain information contained in this article (including certain forward-looking statements and information) has been obtained from published sources and/or prepared by other parties, which in certain cases has not been updated through the date hereof. While such sources are believed to be reliable, neither Industry Ventures and any general partner affiliated with Industry Ventures or any of its respective directors, officers, employees, partners, members, shareholders, or their affiliates, or any other person, assumes any responsibility for the accuracy or completeness of such information.

The investments described herein are for illustrative purposes only. This is not a full and complete listing of all current and prior investments. A complete listing is available upon request. The portfolio companies identified in this presentation are not necessarily the best performing investments in the portfolio, and have been presented for illustrative purposes only to demonstrate Industry Ventures’ investment approach with respect to each category. They do not necessarily represent all of the investments made or recommended by Industry Ventures, and it should not be assumed that the specific investments identified and discussed herein were or will be profitable.

The graphs, charts and other visual aids are provided for informational purposes only. None of these graphs, charts or visual aids can, of themselves, be used to make investment decisions. No representation is made that these will assist any person in making investment decisions and no graph, chart or other visual aid can capture all factors and variables required in making such decisions.