et reported on december 24 36 billion have been invested in indian startups this yearrising secondary saleswhile ipos and big mas were standout themes this year secondary share sales in large financing rounds also occurred triggering liquidity for investors and founders too in some casesashwin damera cofounder and ceo of edtech startup eruditus said the trend of increasing exits would have a positive outcome for entrepreneurs and as a result premoney valuations of startups are also increasing in many cases now first institutional funding is happening at closer to 10 million and its even higher for secondtime founders investors are coming in at higher valuations because they think an exit is possible he saideruditus closed a 650million funding round in august this year led by accel us and japans softbank vision fund ii it included a 220million secondary share sale giving a part exit to its investors like bertelsmann et had reported at the time that damera and the eruditus management may have also liquidated shares worth nearly 100 million in that round after which the firm was valued at 32 billionin a secondary share sale new investors buy shares from existing investors giving the latter an opportunity to cash out in parts or full as the money doesnt go to the company coffersclose to 3 billion of secondary share sales were executed in 2021 compared to 453 million in 2020 and 780 million in 2019 the venture intelligence data showedstrategic sales led to exits worth over 4 billion this year compared to 620 million last year and 578 million in the year beforethanks to real outcomes the gap between wishful thinking and reality is sharply narrowing said sanjay nath cofounder and managing partner of blume ventures what is also happening more frequently is the recycling of cash via these exits moneyin moneyout is an important outcome of the venture lifecycle and creates a positive virtuous flywheel he wrote in a blog postsoon after the payubilldesk deal bob van dijk group chief executive of dutch conglomerate prosus that owns payu had told et that being at scale is incredibly important in the payments business and that in some cases companies are better off joining forces and doing an mahow this startup is solving the hurdles of mass adoption of liion batteries by digbijay mishra ettech published on jan 1 2022 at 0831 am ist telegram facebook copy link be the first one to comment comment now comments comment now read comment 1 all comments post post find this comment offensive choose your reason below and click on the submit button this will alert our moderators to take actions reasons for reporting foul language defamatory inciting hatred against a certain community out of context spam others report join the community of 2m industry professionals subscribe to our newsletter to get latest insights analysis download etauto app get realtime updates save your favourite articles scan to download app startup funding share sales initial public offerings startup ipo indian