Dusseldorf In the low-interest phase two years ago, the fast delivery service Flink quickly achieved unicorn status, i.e. a billion dollar valuation. The company, which supplies groceries and everyday necessities, is now looking for fresh investor money – a three-digit million amount is under discussion.
But it is already becoming apparent that the search will be difficult and that Flink will most likely have to accept a reduction in the rating for a cash injection. A financing round in which a start-up is valued less than in the previous financing round is called a down round. And this could now also threaten other start-ups – especially those that are not yet profitable.
“Two years ago it was a completely different situation,” says Arno Schütze, corporate finance editor at Handelsblatt. Numerous companies that were not yet profitable pocketed very large sums of money and valuations or went public. But in the meantime, due to the turnaround in interest rates, money is no longer so easy for investors.
But not everyone is tightening their belts because of this: The logistics start-up Sennder is currently trying to buy the competition out of the way, so to speak, through as many takeovers as possible. Investors are also less cautious when it comes to start-ups that are somehow related to the energy transition.
In the current episode of Handelsblatt Deals, you can find out which start-ups are particularly successful and which deals are pending.
More: Financing for German start-ups is collapsing
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