95% of exits are acquisitions rather than IPO. Also nearly a half of them are before Series B. In today’s episode, we invited Benjamin Joffe, who is a partner at the leading global hardware accelerator HAX and has made nearly a thousand angel investments, to share his insights about exits. Here you can find out the big differences between exits in China and exits in the rest of the world, how Chinese companies develop the acquisition playbook globally and also for entrepreneurs, how you can plan your exits and the better way to integrate yourself into another corporate body.
95% of exits are acquisitions rather than IPO. Also nearly a half of them are before Series B. In today’s episode, we invited Benjamin Joffe, who is a partner at the leading global hardware accelerator HAX and has made nearly a thousand angel investments, to share his insights about exits. Here you can find out the big differences between exits in China and exits in the rest of the world, how Chinese companies develop the acquisition playbook globally and also for entrepreneurs, how you can plan your exits and the better way to integrate yourself into another corporate body.
Check out Benjamin’s articles about exits: https://techcrunch.com/2018/07/31/what-every-startup-founder-should-know-about-exits/
Show Notes:
[2:02] The reality about exits
[3:00] The big differences between exits in China and exits in the rest of the world
[4:27] Motivations for Chinese companies to start exploring acquisitions
[6:09] Are Chinese companies looking for new things that are not in China
[7:52] Specific phenomenon across Chinese M&A activities
[11:20] Chinese acquisitions in China
[13:09] How founders plan exits
[15:28] How founders should change the strategies based on the feedback
[17:56] The typical exits happen before Series B
[19:19] Sell your company before you close the round or do it right after
[21:30] Competitions and options among corporates
[24:42] Chances of International corporates seeking M&A opportunities in China
[28:27] Founders’ challenges about potentially selling a company to Chinese buyers
[32:03] Founders should be careful about the information disclosure in the due diligence process
[35:19] How founders make themselves visible to potential buyers
Many thanks to our host Oscar Ramos, guest Benjamin Joffe, editor David and Geep, producer Eva Shi, organizer Chinaccelerator and sponsor People Squared. Be sure to check out our website www.chinaccelerator.com
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