Let's have a look at the notable news as of 21.02.23
We know we can't cover everything, so please feel free to share any other interesting stories in the comments below! We're curious to know what caught your attention.
1.These are the biggest French startups in 2023 according to the French government
The French government has just released its official list of the biggest players in the game. From cutting-edge AI technology to innovative e-commerce solutions, these companies are shaking up the industry and paving the way for a bright future in French tech. Get ready to meet the startups everyone will be talking about this year.
2. Global venture fundraising hits nine-year low
Is the global venture capital market cooling down? A new report reveals that venture fundraising has hit a nine-year low, signaling a potential shift in investor sentiment towards tech startups. The data shows a decline in both the number of funds raised and the total amount of capital, indicating that investors may be becoming more selective in their investments. What does this mean for the future of venture capital? Read on to find out.
3.British Business Bank aims to become ‘sovereign growth fund’
The British Business Bank has requested greater independence to transform into a sovereign growth fund that can reinvest proceeds from its venture capital investments. In an interview with the Financial Times, the CEO Louis Taylor called on ministers to make key decisions on the future of the state-owned economic development investor, including whether to extend its venture capital arm beyond 2028. The BBB invests in venture capital funds that, in turn, provide financing for companies in sectors such as technology and life sciences.
4.China Launches Pilot Program to Boost Private Investment in Real Estate Sector
China has launched a pilot program to boost private investment in the real estate sector, aiming to help property developers reduce their debts, increase liquidity, and put idle assets to better use. Private funds with a minimum of CNY5 billion of investment principal under management can participate in the pilot scheme, which aims to mobilize private funds to acquire real estate assets and support the whole industry. The pilot program encourages foreign investors to participate and aims to draw conclusions to improve policies and regulations that support private funds' products.
5.Porsche Stuns Private Debt Market With Record €2.7 Billion Sale
German automaker Porsche has raised a record €2.7bn in the Schuldschein market on its debut, which initially targeted €500m. The offering saw around 120 investors including pension funds and insurers from Europe, Asia and the US. The deal also showed that Schuldschein debt is becoming an increasingly popular funding option for European companies, with Porsche's sale representing almost a tenth of all the market's sales for 2022. Average deal sizes have risen to more than €207m in 2022 from €172m in 2021.
6.Scottish private equity outperforms rest of UK, with record £3.5 billion spent
Scottish private equity has outperformed the rest of the UK in terms of returns, with an average return of 19.6% over the past year, according to new data from the British Business Bank. The report shows that Scottish private equity firms have consistently achieved higher returns than the UK average over the past five years, with an average annual return of 14.3%. The data comes amid increasing interest in the Scottish tech sector, which has attracted significant investment in recent years.
7.Ride-Hailing Unicorn Uses Novel Instrument to Raise $150 Million
InDrive, the second-most downloaded ride-hailing app globally, has raised $150 million in an unusual debt instrument that links repayment to the company’s performance. The Mountain View-based company intends to use the funding for marketing activities and the development of new services. The company, which increased gross revenue by 88% in 2022, expects to become cash flow positive this year. Founded in Siberia, InDrive’s app was downloaded 61.8 million times in 2022, with Latin America contributing to 60% of its business.