Walden International has also returned a part of its $1 billion fund raised a few months ago, to the investors. We decided that we would rather recognise the realities of the market and return the money now explains Mr Vaswani.
While in some cases the money has been voluntarily returned by the VC firms to their investors keeping in mind the lack of opportunities in terms of good deals, in some cases investors appear to have applied pressure on the VC firms to return part of the corpus.
With very few opportunities for early stage funding, VC Funds which typically have a life span of about 7 years are finding it difficult to deploy very large funds. Though of late some opportunities are beginning to present themselves particularly in the area of core-technology in the telecom and networking segment, he said.