Exits have probably been, on average, successful so far, but there’s also the initial effect and the often-mentioned Mobidiag. The portfolio is still young, and buyers are naturally interested mainly in those that have taken off. The slow movers and eternal startups remain in the portfolio to grow or go bankrupt.
From Sprinku’s perspective, there’s always a theoretical profit if the company sells for some price. However, this is also part of the service fee paid by the company, so some work hours are not recouped from fizzled rockets. This is probably the same situation as in startup ventures generally: one success pays for many others, which Sprinku has likely internalized quite well. It has gained such a good reputation and track record that it gets to choose its clients from a good selection of willing target companies. It’s a really good boost for Finnish growth companies and, above all, for the democratization of investing in unlisted companies, so I’m involved with a small supportive position. I would put a larger slice into a similar leading company in the USA.
7 Likes