Tiger Global Management's investment in India falls by 70%
It's been a tough year for Indian start-ups. After a year that saw a breakneck pace of investing, funding has dried up this time. Tiger Global Management's numbers say the name. The firm's total investments in the country fell by 70% in the first eleven months of 2022, according to Venture Intelligence data. However, it has continued to deploy funds in the country.
The hedge fund participated in 50 rounds this year
In 2022, Tiger Global participated in 50 funding rounds so far in India. It is slightly lower than the 64 deals it participated in last year. However, the New York-based hedge fund's presence in funding rounds in 2022 is more than in 2020 and 2019, where it participated in 19 and 31 deals, respectively. On average, it has participated in 26 deals since 2014.
Tiger Global only invested $807 million this year
When we take a look at the number of funding rounds Tiger Global participated in this year, we see only a marginal difference. In terms of value, however, it seems that the hedge fund has slowed down in India. In the first 11 months of 2022, Tiger Global invested $807 million. This is 70% lower than last year's $2.7 billion.
The hedge fund's participation in Series A increased by 80%
Unlike previous years where it largely participated in later rounds, this year saw Tiger Global participating in Series A funding rounds more. In India, the company invested $457 million in Series A this year, an 80% YoY increase. This is in complete contrast to its global funding pattern, where it has reduced its Series A participation by 11%.
The average cheque size has decreased
Due to its increased participation in Series A this year, Tiger Global's average cheque size has reduced. Compared to $42.92 million in 2021, it is only $16.14 million this year. This is also lower than the last nine years' average of $25.42 million.
It participated in just 1 round of over $500 million
So far in 2022, Tiger Global has participated in only one round of more than $500 million. Last year, it participated in three. The hedge fund's largest round this year was BYJU'S $665 million fundraise. It was also part of Polygon's $450 million fundraise, Delhivery's $304 million anchor investment round, and $250 million rounds of ChargeBee and Moglix.
Tiger Global is very bullish about India
Despite a reduction in funding, Tiger Global has been bullish about India. Scott Shleifer, the hedge fund's private investment head, was recently in India to meet investors, founders, and portfolio start-ups. Alex Cook, another partner at Tiger Global, who manages several investments in India, came down to the country twice this year. The hedge fund still sees India as a silver lining.
