Well if you are an entrepreneur who raised venture capital money last year then you are one lucky entrepreneur! This is because had to tried raising the same money this year in the Q2 of FY 2009-10 then most likely you would have failed. Don’t believe us? Well the numbers do tell a story..
As per this report VC investments are down over 70% from $298 million in Q2 2008-09 to $77 million in this last quarter. The number of deals have also fallen down from 55 deals last year to 17 deals this year.
Though on the brighter side 77 M $ is higher than 64 M$ which was the total VC investment in Q1 2009-10 and hence a sign of improvement for the statup entrepreneurs in India. These statistics are as per study by Venture Intelligence in partnership with the Global-India Venture Capital Association.
We have covered funding news from time to time and in just the month of October there have been 3 announcements of VC investments i.e. Matrix Partners India Investing Rs 20 Crore In Ver Se, Apalya Raising $3 Million In Funding From IDG & Qualcomm Ventures, MChek raising funding from Nexus and Nokia Growth Partners investing in Web 18.
All in all it does seem that the VC interest is picking up in India and with the stock markets looking good and with Google claiming that the worst is behind us one can expect the VC activity to pick up in the coming two quarters of 2009-10.
