Impact investing de-grows ~13% in first half of the calendar year, notwithstanding a large increase in education sector spends
I. Investment Data
- About 60 enterprises received funding in the first half of 2020 raising close to USD 1 Billion, but overall funding to the sector fell by 13% compared to the same period last year
- A bulk of the fall can be attributed to the sharp deceleration in the second quarter when investments have fallen almost 40% on a Q-o-Q basis. Relatively speaking, Q1 showed a growth of almost 6% compared to Q4 of Calendar Year 2019
- Education sector has witnessed the biggest growth and has almost tripled in investment. Expectedly, the de-growth is most accentuated in the financial inclusion space.
- Though the health sector investment has de-grown overall, it has witnessed the sharpest growth in investments in Q2 Calendar Year 2020 vis-a-vis the earlier quarter.
II. Investment Data stage wise
- As can be expected, initial stage investment have suffered somewhat, with early stage funding seeing a sharp fall vis-a-vis last year
- In contrast, the more mature, and resilient organizations in later stages continue to be successful in attracting funding and larger stage funding has actually grown materially.
III. Investment Data- Exits
This year, most exits have taken place in financial inclusion, technology for development and education. In 2019, most exits took place in healthcare and financial inclusion.
IV. Most Active Investors in the Period Jan to June 2020
Maximum participation (by Number) in various deals by investors:
