Template-Type: ReDIF-Paper 1.0
Author-Name: Manigart, S.
Author-Name-Last: Manigart
Author-Name-First: Sophie
Author-Name: Bruining, J.
Author-Name-Last: Bruining
Author-Name-First: Hans
Author-Name: Lockett, A.
Author-Name-Last: Lockett
Author-Name-First: Andy
Author-Name: Meuleman, M.
Author-Name-Last: Meuleman
Author-Name-First: Miguel
Title: Why Do European Venture Capital Companies Syndicate?
Abstract: Financial theory, resource-based theory and access to deal flow are used to explain syndication practices among European venture capital (VC) firms.  The desire to share risk and increase portfolio diversification is a more important motive for syndication than the desire to access additional intangible resources or deal flow. Access to resources is, however, more important for non-lead than for lead investors.  When resource-based motives are more important, the propensity to syndicate increases.  Syndication intensity is higher for young VC firms and for VC firms, specialised in a specific investment stage. Finally, syndication strategies are similar across European countries, but differ from North American strategies.
Creation-Date: 2002-11-04
File-URL: https://repub.eur.nl/pub/252/erimrs20021104111253.pdf
File-Format: application/pdf
Series: RePEc:ems:eureri
Number: ERS-2002-98-ORG
Classification-JEL: G24, L2, M, M10
Keywords: financial diversification theory, motivation, resource-based theory, syndication, venture capital strategies
Handle: RePEc:ems:eureri:252