skip to Main Content

How Tiger Global, SoftBank Vision Fund, and Insight Partners Changed the Business Landscape in 2021 – Crunchbase News

Global Tiger Management, Vision SoftBank Fund and Insight Partners aren’t traditional venture capitalists, but all three venture capitalists have invested in startups at an unprecedented rate in 2021, competing directly with many of Silicon Valley’s biggest names and racking up a slew of holding companies in the process.

All three companies have invested quickly in startups this year, even relative to accelerators – not to mention venture capitalists – according to data from Crunchbase.

Take Tiger Global. The New York-based company has made 335 investments this year, making it the third-most active investor. Only Y Combiner, the startup accelerator that manages summer and winter batches and has more than 300 companies in each batch in 2021, and Techstars, an accelerator, invested at a more sustained pace.

Look for less. Close more.

Grow your revenue with all-in-one prospecting solutions powered by the leader in private enterprise data.

Insight Partners, made 245 investments this year, followed SOSV as the fifth most active investment firm in private companies in 2021.

SoftBank Vision Fund was the 12th most active investor this year, with Andreessen Horowitz, Global founding capital, Accelerate, General catalyst, Plug and Play Technical Center and 500 startups each more active per investment counts relative to the growth equity fund, according to data from Crunchbase.

Our data also shows that these three growing investment firms have significantly increased their pace of investing year over year.

For each week in 2021, Tiger led a fundraising on average every four out of five business days. Insight Partners was not far behind, leading an average of one round of more than three working days per week. And SoftBank has averaged more than two investments per week, tied with Andreessen Horowitz, the most active venture capital firm in 2021.

Tiger and the SoftBank Vision Fund increased their fundraising pace to over 400%, according to data from Crunchbase, while Insight Partners increased their fundraising pace by more than 190%.

Investments from SoftBank Vision Fund, Insight Partners and Tiger Global led from 2018 to 2021

Despite increased activity and record funds raised, the investment approach of each of these companies is quite different.

The SoftBank Vision Fund has led larger and more valuable rounds, according to data from Crunchbase, leading rounds that totaled as much as $ 35 billion.

Tiger Global, meanwhile, has led nearly double the number of fundings compared to SoftBank: it has led fundraising rounds at companies that raised a total of $ 29 billion in 2021.

Insight Partners has led rounds totaling $ 14 billion, which is still a significant number, but less than half the amount of the other two major growth capital firms.

For the background, Andreessen Horowitz and Redwood capital– two of Silicon Valley’s best-known and richest venture capital firms – led rounds totaling $ 6.9 billion and $ 7.6 billion in 2021, respectively, per Crunchbase data.

Investments from SoftBank Vision Fund, Insight Partners and Tiger Global led by round amounts from 2018 to 2021

Late or early investments

Of the three growth stock companies, the SoftBank Vision Fund tends to lean the most towards later stage investing, our data shows, with 83% of the investments it made this year at the Series C level. or more.

For Tiger Global, 52% of its funding was at an advanced stage. Less than half, or 43%, of financings led by Insight Partners were at an advanced stage, according to data from Crunchbase.

The SoftBank Vision Fund portfolio also has the highest proportion (61%) of its unicorn portfolio. However, he does not have the highest number of unicorns. This honor goes to Tiger Global, which has 176 current unicorns in its portfolio.

Insight Partners has the lowest number among these companies, but also typically invests earlier in a company’s lifecycle.

Portfolio Analysis SoftBank Vision Fund, Insight Partners and Tiger Global

Record fund

Insight Partners is said to be closing the fund 12, his biggest fund to date. he raised a previous fund of $ 9.5 billion with a final closing in April 2020.

SoftBank, meanwhile, has extended the size of its Vision 2 Fund at $ 40 billion, all self-financed. And Tiger Global announced the first closing of the fund $ 15 to $ 8.8 billion in October, on the heels of its $ 6.65 billion fund 14 announced in January.

This increased investment impact of private equity and hedge funds creates a very different private market investment ecosystem.

“If the private market starts to look a lot more like public markets and public markets start to take on certain aspects of private markets, all with essentially increased liquidity, which then becomes a virtuous circle of adding more money. liquidity to these markets. , it changes a bit what it means to be a venture capital investor ”, well wild of Clock tower technology companies said in an interview earlier this month, speaking about the impact of crossover hedge fund investors investing in private companies.

Look for less. Close more.

Grow your revenue with all-in-one prospecting solutions powered by the leader in private enterprise data.

Savage predicts that the business as an asset class will not only be made up of long-lived illiquid assets, but also a mix of liquid assets over the next five to ten years.

“It wouldn’t shock me if you saw people who would have traditionally characterized themselves as venture capital firms start to come up and look more like crossover companies,” he said. “It is likely that the general trend will continue for several years and into the next year.”

Collectively, Tiger Global, SoftBank and Insight Partners alone have led or co-led a total of $ 73 billion in funding rounds in 2021, which represents 12% of all VC and private equity firms in the venture-funded startups, according to data from Crunchbase.

The three companies collectively had 41 holding companies that each went public valued at $ 1 billion or more when they debuted on the stock exchange, up from 11 in 2020 and five in 2019. With 274 other portfolio unicorn companies still private and one active IPO market expected in 2022, don’t be surprised if this pace continues.

Crunchbase Pro queries regarding this item

Related stories

Methodology

The data in this report comes directly from Crunchbase and is based on reported data. The reported data is from December 21, 2021.

We include seed, venture capital, and private equity in private companies funded by venture capital for this analysis. We exclude secondary funding.

Illustration: Dom Guzman

Stay on top of the latest rounds of fundraising, acquisitions and more with Crunchbase Daily.

Back To Top