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LetsVenture's proposed changes to investment structure draw criticism from investors

Economic Times · 1y

LetsVenture, an early-stage investment platform, has come under criticism for amending their private placement memorandum (PPM) arrangement and introducing an exit fee for investors. The changes include implementing an exit fee ranging from Rs 25,000 to 3% of the exit value per syndicate. The move has caused discontent among limited partners and investors, who argue that consent cannot be assumed in the case of no response. LetsVenture, on the other hand, defends the changes, stating that it helps cover fund costs over a five-year period and that they had previously reduced their carry to benefit angel investors.