New capital — in primary funding — is increasingly hard to come by due to a host of reasons, including global macroeconomic conditions and a reset in valuations. In this scenario, existing investors who want a partial exit from older investments are game for such deals.
Tiger Global has raised just over $2.7 billion for its newest private equity fund since October, less than half of the $6 billion target of its 16th fund.
The pace of growth has slowed partly because of a funding winter in startups and also due to macroeconomic factors like high inflation rates, exchange rates, the cost of crude oil globally, and the Russia Ukraine war.