Start-ups told not to think of exit before 7 years

Hyderabad: The Flipkart-Walmart deal may be a good thing but this merger doesn’t indicate exit of investors in the start-up ecosystem, investors said at the Hysea Summit. They said that start-ups with anything less than seven years shouldn’t think of exiting. Mr Shashi Reddy of SRI Capital said, “It is a good thing but this is not an indication of upcoming exits. Angel investors are disappointed, but they need to wait at least for 5-7 years before thinking of one”.

Investor Venkat Vallabhaneni from Parampara said, “IPO exits is not probably the best option as the market is not considered in India”. While retail investors are not active, investors asked start-ups to be careful and spend wisely especially when seeking Chinese investments.