Thursday, May 23, 2024

Inflection Point Ventures Celebrates 14 Successful Exits and 61% IRR in 2023: A Look at India’s Leading Angel Investment Platform


Inflection Point Ventures Announces 14 Exits in 2023 with IRR of 61%

Inflection Point Ventures (IPV), recognized as India’s leading angel investment platform, has proudly declared accomplishing 14 successful exits in 2023, resulting in an extraordinary Internal Rate of Return (IRR) of 61% for its investors. This significant achievement underscores IPV’s resilience and innovative approach in navigating through the challenging market landscapes.

The year 2023 saw IPV orchestrating a stellar 217% IRR (~40x MOM) on a complete exit from a venture codenamed Project Light. In addition to three full exits, IPV managed to secure partial exits from 11 startups, yielding IRRs between 20% to 97% across more than 1,000 individual investments. These transactions have been particularly fruitful, boasting an average investment period of 1.5 to 2 years. Startups such as Oorjaa, Devnagri, Aerem, and Ishitva stood out, delivering an impressive average IRR of 80%. This brought IPV’s total exits to 38 in less than five years.

Vinay Bansal, the Founder & CEO of Inflection Point Ventures, highlighted, “IPV has maintained its position as the most vibrant angel investing platform in India amidst the funding winter. Our focused investment strategy and commitment to sustainable innovation set the path for evaluating high-potential startups in 2024.”

Despite the cautious investment climate, IPV stood as a steadfast pillar of support for startups. The platform’s emphasis on post-investment assistance, notably through the marquee LetsGrow program, has been instrumental in nurturing successful entrepreneurial ventures by facilitating partnerships and providing access to global business networks, CXO expertise, and technological insights.

In an effort to assist startups impacted by the Covid pandemic, IPV’s LetsGrow program played a crucial role in protecting investor interests. A noteworthy arrangement involved an M&A between portfolio companies Sportido and Hudle, proving advantageous for both founders and investors. Moreover, IPV’s collaborations with investment banks contributed to the success of acquisitions, like the acquisition of the auto spare parts platform Koovers by Schaeffler, delivering a commendable 47% IRR to investors in under two years.

Ankur Mittal, Co-Founder of IPV, commented, “Our belief in investing in remarkable founders at reasonable valuations has consistently led to successful exits for our investors. IPV excels in aiding our founders to grow by leveraging our extensive network for capital infusion and mentoring.”

Despite the global challenges faced by the startup ecosystem, IPV’s portfolio remained resilient, highlighting the inherent risks and high failure rates in startup investing. However, IPV’s mission to dramatically improve startup success rates has borne fruit, evidenced by the minimal number of startups in its portfolio that failed to return capital to investors.

Mitesh Shah, Co-Founder of IPV, shared, “Our mission to identify and support groundbreaking startups remains steadfast. With a strong recovery and a robust funding cycle expected in 2024, IPV is geared to continue its active investment strategy. The newly launched IPV Ideaschool, an accelerator program, is set to empower startups within our network, offering them strategic guidance to scale their growth rapidly.”

In 2023, IPV evaluated over 7000 startups and funded 56 deals, including 10 uprounds, supporting founders in subsequent funding rounds. The platform has grown its member base to over 12,000 individuals from 46+ countries, democratizing early-stage investing with minimal entry requirements and investments as low as Rs. 1,00,000. IPV continues to educate and inspire new investors through its acclaimed masterclass sessions.

Inflection Point Ventures remains a beacon of innovation and support in the startup investment landscape, with its strategic approach and dedicated programs catalyzing the growth of startups and delivering remarkable returns for its investors.

Alex Sterling
Alex Sterling
Alex Sterling is a seasoned journalist with over a decade of experience covering the dynamic world of business and finance. With a keen eye for detail and a passion for uncovering the stories behind the headlines, Alex has become a respected voice in the industry. Before joining our business blog, Alex reported for major financial news outlets, where they developed a reputation for insightful analysis and compelling storytelling. Alex's work is driven by a commitment to provide readers with the information they need to make informed decisions. Whether it's breaking down complex economic trends or highlighting emerging business opportunities, Alex's writing is accessible, informative, and always engaging.

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