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.
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