SaaStr · 2024-02-22 · 832d

Investor Sentiment on Acquihires: How VC Attitudes Have Shifted Since 2013

Jason Lemkin examines how venture capital attitudes toward acquihires have dramatically changed since 2013. While VCs previously invested significant effort in arranging 'soft landings' for struggling startups, they now largely ignore acquihires, preferring to let companies quietly run out of money rather than pursue pennies-on-the-dollar returns. The shift reflects changing economics and risk tolerance within larger VC funds.

3 metrics· Cited 0× in the knowledge base ·Open source ↗

Metrics in this report

Acquihire Return Multiple

0x

typical

Return on investment for acquihire transactions

Small Investment Allocation

500$K

example allocation

Individual portfolio company investment from large fund

VC Fund Size Reference

200$M

typical large fund

Investment fund size example