seventure vc club 16.07.2014
DESCRIPTION
Seventure VC CLuB 16.07.2014. VC I n vesting: . Know about all the deals . VC I n vesting: . Know about all the deals Pick the best ones. EASY?. Succefully VC I n vestment: . Know about all the deals Pick the best ones Make them grow. Succefully VC I n vestment: . - PowerPoint PPT PresentationTRANSCRIPT
SEVENTURE VC CLUB16.07.2014
VC INVESTING:
Know about all the deals
EASY?
VC INVESTING:
Know about all the deals
Pick the best ones
SUCCEFULLY VC INVESTMENT:
Know about all the deals
Pick the best ones
Make them grow
EASY?
SUCCEFULLY VC INVESTMENT:
Know about all the deals
Pick the best one
Make them grow
Sell them high!
EASY?
SUCCEFULLY VC INVESTMENT:
Know about all the deals
Pick the best ones
Make them grow
Sell them high!
Return your fund 2-3 times
BIG NEW FINANCINGDate Company Investor Funding round Description
10.07.2014 Mediakraft Shortcut VenturesCapnamic Ventures
Iris Capital
€16.5M / Series B Online TV network
24.06.2014 Kreditech Point Nine CapitalBlumberg Capital
Värde Partners
€30M / Series B Customer credit scoring
18.06.2014 HelloFresh Insight Venture PartnersPhenomen Ventures
€37M / Series D Subscription based food delivery
13.01.2014 Delivery Hero Insight Venture PartnersGerman Startups Group
€65M / Series E Online food ordering platform
25.01.2014 Soundcloud Institutional Venture PartnersThe Chernin Group
€44M / Series D Online audio distribution platform
04.02.2014 Foodpanda KinnevikPhenomen Ventures
€15M / Series C Online food ordering platform
03.04.2014 Westwing Fidelity InvestmentsOdey Asset Management
Tengelmann Ventures
€72M Online home design shopping club
09.05.2014 Windeln.de DB Private EqutiyDN Capital
Acton Capital Partners
€15M Online shop for baby products
12.06.2014 Webtrekk German Private EquityVenture Capital Association
€25M Web analytics software
WHAT DEALS ARE REQUIRED FOR THIS…
WHAT IS THE WINNING STRATEGY ?
The Silicon Valley approach
1-2 winners (10-30x)3-4 cash cows (2-4x)4-5 baggers (0-0,5x)
MAY WAYS MAY BE SUCCESSFUL
WHAT IS THE WINNING STRATEGY ?
The Silicon Valley approach
Multi billion $ marketScalable business model(revenue €100m plus)Ground breaking technology/ideaExit in 5-7 years
MARKET SIZE STATISTIC IN 2012
» 41 500 fund raising projects» 189 investments in VC (€ 520 m)» Around 50% of investments stem from foreign funds with
at least one office in Germany» 71% of funded companies generates < € 10 m revenue
GERMANY HAS BECOME A TOP DESTINATION FOR M&A
RECENT EXITS IN GERMANY 2013/2014
Date Company Acquiring Company
Investors Valuation Description
01.05.2014 TeamViewer Permira Insight Venture Partners €1,100M* Collaboration software
3.12.2013 Trivago Expedia Tiburon, Insight Venture €704 Hotel portal
10.04.2014 Lieferando Takeaway.com KfW, DuMOnt Venture, Rheingau Founders, Mountain Super Angel
€103M Online food ordering
18.12.2013 Klarna Sofortüberweisung n/a €108M Online payment solutions
16.09.2013 Tirendo Delticom Project A Ventures, SevenVentures, Jahr
€50M Online tyre dealer
03.12.2013 Retailo Blackhawk Network Seventure Partners, Wellington Partners, HTGF, Endeavour Vision
€50M* Gift card solutions
31.01.2014 Skobbler Telenav n/a €23.8M Mobile navigation app
07.01.2014 Plista Group M HTGF, DuMont Venture, Credit Agricole Private Equity
€30M* Targeted digital advertising
08.01.2013 Xing Kununu n/a €9.4M Employer reviews platform
14.03.2014 ZooRoyal Rewe DuMont Venture, KfW, Grohs und Heuser
undisclosed Online pet shop
03.04.2014 Sociomantic Dunnhumby (Tesco) - undisclosed Real-Time Bidding advertising system
MAY WAYS MAY BE SUCCESSFUL
WHAT IS THE WINNING STRATEGY ?
Maybe other approaches work?
• Technology vs. Business Model (Risk assessment)?
• Seed vs. mid vs. Late?
• Reference to PE Funds?
THIS IS OUR WINNING STRATEGY !
Stick to what you know
THIS IS OUR WINNING STRATEGY !
Stick to what you know
Choose the right stage (risk/reward)
THIS IS OUR WINNING STRATEGY !
Stick to what you know
Choose the right stage (risk/reward)
Take NO risk!
THIS IS OUR WINNING STRATEGY !
Stick to what you know
Choose the right stage (risk/reward)
Take NO risk! NO team risk
THIS IS OUR WINNING STRATEGY !
Stick to what you know
Choose the right stage (risk/reward)
Take NO risk! NO team risk NO market risk (size and existence!)
THIS IS OUR WINNING STRATEGY !
Stick to what you know
Choose the right stage (risk/reward)
Take NO risk! NO team risk NO market risk (size and existence!) NO technology risk
THIS IS OUR WINNING STRATEGY !
Stick to what you know
Choose the right stage (risk/reward)
Take NO risk! NO team risk NO market risk (size and existence!) NO technology risk
Find the category leader (national or international)
THIS IS OUR WINNING STRATEGY !
Stick to what you know
Choose the right stage (risk/reward)
Take NO risk! NO team risk NO market risk (size and existence!) NO technology risk
Find the category leader (national or international) Make sure that ALL the KPIs tell you that his can scale!
EARLY & MID STAGE PROVIDES FOR BEST RISK RETURN RATIO
INVESTING AT THE RIGHT STAGE
Seed Early & Mid Stage Growth Capital
Turn Over €0-500k €0,5-5m €5-10m
Technology Not proven Proven Proven
Market Risk High Low Low
Pre-Valuation €1-3m €4-10m €10+
Risk of Negative Returns 80% 30% 20%
Expected Exit Return > 10x 3-10x 2-3x
Holding Period 8-15 years 4-8 years 3-4 years
Our investm
entsSizable market andbarrier to Entry
> 1m in RevenueProfitable growth
LEADING INTERNET AND SAAS BUSINESS MODEL EXPERTISE
SEVENTURE INVESTMENT FOCUS
Looking for Category Leaders:
Strong focus on underlying key performance indicators:
First mover withproven business model
SaaSInternet b to b
Innovative Services
High scalability
A high customer recurrence
A RETURN OF 4X WITH AN IRR OF 140% WAS REALIZED
SHOWCASE:
Tradoria…» is a B2B shop solution for small and mid size retailers » added more than 3000 retailers to platform and tripled in revenue during investment holding period» was introduced to us by Du Mont
Seventure…» invested in December 2009» introduced Tradoria to Rakuten» managed the entire M&A process » sold to Rakuten in June 2011 (after 18 months)
THANK YOU
ContactTel: +49 89 87 80 68 6-14 Fax: +49 89 87 80 68 6 99 Mobil: +49 172 81 24 673Mail: [email protected]: www.seventure.de
Seventure Partners Maximilianstraβe 36 80539 München Germany Munich Pacific Development GmbHAmtsgericht München, Germany Geschäftsführer: Dr. Wolfgang Krause, VAT ID: DE213507781, HR 136141