TLDR:
- A new study by Bryan, Garnier & Co. shows an increase in buyside firms looking at VC secondaries
- Tender offers are cited as a reliable way for secondaries buyers to provide liquidity to private company shareholders
A recent report by Bryan, Garnier & Co. highlights a growing trend of buyside firms showing interest in venture capital (VC) secondaries. The study emphasizes the role of tender offers as a dependable method for secondaries buyers to offer liquidity to shareholders of private companies.
The report points out that tender offers provide buyers with the chance to help shareholders of private companies exit their investments, especially in situations where the original investment may be illiquid. This mechanism allows shareholders to realize the value of their investments without having to wait for a traditional exit event, such as an IPO or acquisition.
Furthermore, the study suggests that buyside firms are increasingly viewing VC secondaries as an attractive investment opportunity. With the growing interest in venture capital and the potential for significant returns, more investors are exploring the secondary market as a way to access this asset class.
Overall, the report underscores the importance of tender offers in facilitating liquidity for private company shareholders and the rising interest among buyside firms in VC secondaries as a lucrative investment avenue.
