- Tiger Global is a New York-based investment company that has co-led a lot of companies.
- The company plans to invest more in the future into other upcoming companies.
Introduction:
If you are keeping an update around funding announcements it is easy to notice that there have been a lot of mega-rounds this year. Also, Tiger Global is a part of a lot of them as the round’s co-lead. With only this week half a dozen companies announced rounds which Tiger Global has led. Tiger Global happens to be a New York-based investment giant. It also co-led or wrote follow-on checks including high radius. A company whose $300 million Series C round it co-led with D1 capital. Tiger Global led Cityblock Health’s funding in extended series c for dollar 192 million funding.
The funding rounds:
6sense also received a follow-on check from Tiger Global as a part of a $125 million series d round. The firm is in talks to co-lead a $300 million round in a 5-year-old AI chip maker called Groq. It is easy for you to be wondering where all the money comes from. Tiger Global sent a letter to its investors saying that it raised $3.75 billion for its 13th venture fund. A new SEC filing shows that the newfound closed down with almost twice the amount which is dollar 6.65 billion.
That’s a lot of money especially for Tiger global which closed its 12th fund with $3.75 billion last year in capital commitments only. With the recent reasons to celebrate, the portfolio company Stripe is valued at $95 billion following closing a dollar 600 million round earlier this month. Tiger Global also owned 10% of the gaming company called Roblox ahead of a direct listing. It was staged earlier this month to turn into a publicly traded outfit. The company’s market capitalization at this point is $38 billion.
The companies that were acquired or went public:
In 2020, a lot of its portfolio companies either went public or were acquired including Yat-sen Holding. It is a 5-year-old parent company of a China-based cosmetics giant called Perfect Diary. The list also includes the cloud-based data warehousing outfit Snowflake and Root insurance, a 6-year-old Ohio-based Insurance company.
For M&A, Tiger Global witnessed three of its companies swallowed by huge tech companies last year which includes Postmates’s all-stock sale to Uber for dollar 2.65 billion, Credit Karma’s dollar 7 billion sales in cash, and stock to Intuit. On the other hand, the sale of Kustomer was acquired by Facebook for $1 billion. It focuses on customer service platforms and chatbots
History of Tiger Global:
Tiger Global which has its roots in hedge fund management it launched its private equity business in 2003 which was spearheaded by Chase Coleman. Coleman has previously worked for hedge fund pioneer Julian Robertson at Tiger Management. Scott Shleifer joined the firm in 2002 after he spent three years with The Blackstone Group. Lee Fixel became a key contributor in the business and joined the company in 2006.
Shleifer focused on China while Fixel focused on India and the rest of the company’s support team helped in finding deals in Brazil and Russia before they began to focus aggressively on US-based opportunities. All three were responsible to make every investment decision. Fixel left the company in 2019 and launched his investment firm called Addition. Now Shleifer and Coleman are the only two to decide for the firm.
Tiger Global’s investors include a blend of sovereign wealth funds, foundations, endowments, pensions, and its employees who are believed to be the firm’s biggest investors at this point. Some of the company’s biggest wins have included a $200 million bet On The E-Commerce giant jd.com which produced $5 billion for the firm. The firm also received a massive windfall through its investment in the connected fitness company Peloton, 20% of which the firm owned at the time of Peloton’s 2019 IPO.
