Viswanathan: Private equity acquisitions emerged as new exit route over 2010s
Ravi Viswanathan · 20VC: Raising A $1.35Bn Fund I, The Emerging Secondary Opportunity For Early Stage Managers and Founders & What It Takes To Win The Best Growth Deals Today with Ravi Viswanathan, Founder & Managing Partner @ NewView Capital · Apr 6, 2020 · at 19:57
Ravi Viswanathan, founder and managing partner of NewView Capital, discusses how PE firms have increasingly become buyers of venture-backed startups rather than just minority investors.
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“A lot of these firms are coming in not only to invest as minority growth investors, but also to buy our companies, which is a very new vein of exits for a lot of these venture-backed startups. It's really emerged, I'd say, in the last decade”
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“I find that where companies start failing is when boards get overactive and start micromanaging or vice versa, and that's when you see deterioration, but it's really pretty simple, at least in our approach.”
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“Whenever that happens, usually the companies degrade pretty quickly.”
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