Market overview - LVenture Group
-
Upload
lventuregroup -
Category
Investor Relations
-
view
34 -
download
0
Transcript of Market overview - LVenture Group
We create value by investing inthe best digital startups
M A R K E T O V E R V I E W
#INVESTNOW
MARKET OVERVIEW
Digital Revolution & Opportunities
The digital economy is growing at an incredible speed;New technologies are fostering innovation and the birth of startups, thus creating new opportunities every day;Digital startups need low initial capital and even a small investment can generate significant returns and high margins.
•
•
•
The VC Opportunity
USA: in 2015, approximately $59bn were invested in VC, second highest value over the last 20 years;USA: +35% fundings to internet startups 2015 vs. 2014;EU: in 2015 $13.4bn were invested in VC, reaching a record;
EU: digital tech startups received 78% of the total VC investments.
Source: MoneyTree report from PwC and NVCA
•
••
•
Early Stage Scenario
In 2015 Seed and early stage represented over 60% of VC investment activity in EU;In 2015 Business Angels covered 73% of the European early stage investments;Equity crowdfunding had an impact of 1%.
Source: MoneyTree Report from PwC and NVCA
•
•
•
MARKET OVERVIEW
LVenture Group ’s positioning in the funding pipeline
Competitions Challanges Tech HubsIncubators
PRE-SEED
Family & FriendsGrants
Accelerators Business Angels
MICRO-SEED
Business AngelsSeed Funds
SEED
EARLY STAGE
Early Stage FundsLATER STAGE
Growth FundsBanks
Private Equity
1st Round
2nd
3rdMezzanine
Seed Investment
TIMEValley of death
Break even
REVE
NU
E
Source: The Venture Capital Cycle - Cardullo (1999)
OUR POSITIONING
•
•
FOCUS ON ITALY
Volume of tech deals: 70 in 2013-2014, +208% vs. 2011-2012Value of the VC industry: €133M in 2015, +11% vs. 2014
Source: CB Insights
No other European country has shown such growth rates
Italy is likely to become the next European Tech Hub
+9.3%
4.7045.143
2014 2015
Source: Infocamere Report
Registered Innovative StartupsThe number of startups classified as innovative according to the law included
in the Italian register of established companies continues to grow
Source: Boston Consulting Group
3.5% GDP
2.1% GDP
2010 2016
€ 21bn
€ 24bn
CAGR11.5%
The internet share of the GDP in Italy has increased impressivelyover the past years and continues to show an upward trend
Internet’s numbers are growing
Tax reliefIn 2014 the Italian Government introduced legal provisions providing tax relief for investments in innovative startups.
The incentives apply to individuals and companies that in 2016 invest either directly or through entities or limited companies as LVenture Group;
19% deduction on personal income tax (max. €500k);
20% deduction on corporate taxes (max. €1,8M).
Law n. 221, 17/12/2012
•
•
•
Ideal conditions
Low setting up costs compared to other countries;
Great availability of high quality human capital;
Excellent know-how in design and creativity and growing expertise in technology.
In Italy there are favorable condition for the initial development of early stage startups.
•
•
•
Source: Italian Ministry of Economic Development, Italian Ministry of Education University & Research
Arbitrage opportunityThe Italian scenario provides the opportunity to invest with competitive valuations and rapidly scaling startups to international markets with higher valuations.
0
3
6
9
12
0
3
5
8
10
Italy Europe USA Italy Europe USA
SeedAverage Pre-money Valuation
Series AAverage Pre-money Valuation
1,5 35 5
7
10
Source: data elaboration based on industry reports