Investing in Unlisted Companies: What's the deal?
Update: 2024-09-11
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Description
In this episode of the Capitalmind Podcast, we take a deep dive into the world of unlisted and private securities. We’ll cover key topics such as:
- What exactly are unlisted and private securities?
- How do you value them, and what complexities should you watch for, like liquidation preferences and ratchets?
- Who can you sell these securities to, and what about corporate governance risks?
Are these investments or just consumption in disguise? - We also explore opportunities in the SME segment and how much of your net worth you should allocate to private investments.
- Whether you're considering investing in a friend's business or a pre-IPO startup like Swiggy, this episode will help you navigate the complex world of private markets.
Don’t miss out! Send your ideas for future episodes to podcast@capitalmind.in, and if you're ready to invest with us, visit capitalmind.in to learn more about our PMS service.
00:00 Welcome to the Capital Mind Podcast
00:37 Introduction to Unlisted and Private Securities
04:27 Private vs Public Limited Companies
07:32 Valuing Unlisted Companies
09:26 Complexities of Cap Tables
21:31 Exit Strategies for Unlisted Securities
41:19 The Impact of Swiggy and Zomato on Restaurants
42:57 Investment Opportunities in Unlisted Companies
44:01 Shenanigans in Private and Public Markets
44:49 Case Studies: Byju's and FarmEasy
49:22 The Role of Venture Capitalists
01:05:00 Strategic Investments and Their Impact
01:07:30 Challenges of Investing in Unlisted Companies
01:24:03 The Future of Private Investments
01:24:49 Conclusion and Final Thoughts
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