DOCSLIB.ORG

Report Authors

Total Page：16

File Type：pdf, Size：1020Kb

Download full-text PDF Read full-text
Report Authors State of the Markets Inside views on the health and productivity of the innovation economy Second Quarter 2018 State of the Markets: Second Quarter 2018 4 Macro Snapshot: Long-Lived Bull Market 7 IPO Conditions: Value in the Face of Volatility 12 Late Stage: Another Round of Mega-Rounds 17 Global Perspective: Tension Over Tech 22 Special Report: Prepared for a Downturn? State of the Markets 2 State of the Markets: Second Quarter 2018 The Good Times Roll, Even as Risks Rise The bull market powers on, and money continues to flow into the innovation economy. At the same time, we are seeing a reemergence of volatility and a bevy of new risks — including tighter monetary policy and the specter of a trade war — but it’s still status quo for now in the capital markets. Despite market turbulence, the first quarter of 2018 ushered in several high-profile IPOs, and consumer- and enterprise businesses are finding success as public entities. Furthermore, companies reluctant to go down the IPO route found alternative paths. After years of successful fundraising, the world remains awash in capital, and sovereign wealth funds appear poised for even greater contributions. All of these factors are expected to provide further tailwinds for the tech sector. This remains an exciting time for tech around the globe, with some caveats. Innovation companies thrive on open markets, and rich valuations could be undermined by strained geopolitics, wavering consumer confidence and a releveling of investors’ portfolio mix as interest rates rise. While the good times roll, economic cycles don’t last forever, and the trends don’t always point upward. For the moment, however, it’s game on. Bob Blee Head of Corporate Finance State of the Markets 3 Long-Lived Bull Market State of the Markets 4 The Second Longest Bull Market Powers On Since the end of the global financial crisis, equities have been enjoying a nine-year bull run — the second longest since the Second World War. The longest streak was also tech-powered, but ended in the dot-com bust of 2000. Will things end differently this time? Cumulative Return: Longest S&P 500 Market Runs Since 1945 450% 6/13/1949June 1949 – Aug. 1956 Dot-Com Bubble 10/3/1974Oct. 1974 – Nov. 1980 400% 8/12/1982Aug. 1982 – Aug. 1987 10/11/1990Oct. 1990 – Mar. 2000 350% 10/9/2002Oct. 2002 – Oct. 2007 3/9/2009Mar. 2009 – Active 300% Current 250% 200% 150% 100% 50% 0% 00 11 22 33 44 55 66 77 88 99 Duration of Bull Market (Years) Sources: LPL Research, S&P Capital IQ and SVB analysis. State of the Markets 5 Signaling the End of Easy Money Strong economic data suggests that the Federal Reserve will continue raising interest rates. This may allow money managers to capture more attractive yields in less-risky asset classes. Concurrently, its unwinding of $1T in assets will also reduce the availability of capital. Fed Funds Effective Rate: 2010–2020 Fed Balance Sheet (Projected2): 2010–2021 5.0% $4.5T Actual MBS3 Midpoint of Forecasts1 Treasuries 4.5% $4.0T 4.0% Fed Plan $3.5T 3.5% $3.0T 3.0% $2.5T 2.5% $2.0T Without 2.0% Reinvestment $1.5T 1.5% $1.0T 1.0% 0.5% $0.5T Historical Projected 0.0% $0.0T 2011 2013 2015 2017 2019 Long 2009 2011 2013 2015 2017 2019 2021 2009 20112011 20132013 20152015 20172017 20192019 20212021 Run Notes: 1) & 2) Forecasts and projections provided by Federal Open Markets Committee of the Federal Reserve. 3) Mortgage-backed securities. Sources: S&P Capital IQ, Federal Reserve Bank of New York and SVB analysis. State of the Markets 6 Value in the Face of Volatility State of the Markets 7 Spotify Lists, Undeterred by Market Turbulence History confirms that tech companies prefer calm markets for IPOs. But even the recent surge in volatility couldn’t derail Spotify from its nontraditional direct listing. In fact, SPOT experienced milder swings relative to the early trading of SNAP. Volatility (VIX)1 vs. U.S. Venture-Backed Tech IPOs: 2005–1H’182 Early Trading Values vs. Offer Price 80 +80% Snap 60 Spotify +70% 40 +60% 20 +50% 0 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 ’18 +40% 25 +30% 20 15 +20% 10 +10% 5 Opening First Day Trade Close IPO Price or Reference Value First Trade High Close 1-Week Later 0 1H'05 2H' 05 1H'06 2H' 06 1H'07 2H' 07 1H'08 2H' 08 1H'09 2H' 09 1H'10 2H' 10 1H'11 2H' 11 1H'12 2H' 12 1H'13 2H' 13 1H'14 2H' 14 1H'15 2H' 15 1H'16 2H' 16 1H'17 2H' 17 1H'18 +0% IPO Offer Price/ First Day One Week Reference Price High Later Notes: 1) Volatility presented is implied forward volatility of the S&P 500. 2) 1H’18 IPO count includes six completed IPOs as of 4/20/18 and three upcoming listings. Sources: S&P Capital IQ, PitchBook, Renaissance Capital and SVB analysis. State of the Markets 8 IPOs Don’t Happen Overnight Two decacorn debuts captured Q1 headlines, but their decade-plus journeys illustrate different paths to their current robust valuations. Meanwhile, China’s Xiaomi also boasts a “stale” valuation from years ago, but that could double in its highly anticipated IPO later this year. Valuation Progression from Founding to IPO (Relative to Final Private Round) Xiaomi $100B IPO 2.0x Late 2018 Spotify Dropbox Company Xiaomi Snap +117%1 2006 2007 Year Founded 2010 2010 Spotify $27B Listing 1.5x April 2018 +33% Dropbox $8B IPO Last March 2018 Private1.0x Valuation +20% Snap $20B IPO March 2017 0.5x -3% 0.0x 12 11 10 9 8 7 6 5 4 3 2 1 IPO +1 0.2 0.5 0.8 -1.2 -1.5 -2.2 -7.2 -3.2 -5.2 -2.5 -7.5 -1.8 -3.5 -5.5 -8.2 -2.8 -4.2 -7.8 -9.2 -6.2 -3.8 -8.5 -5.8 -4.5 -9.5 -6.5 -0.2 -8.8 -0.5 -4.8 -9.8 -6.8 -0.8 -11.2 -11.5 -11.8 -10.2 -10.5 Years Prior-10.8 to Public Offering Note: 1) Xiaomi IPO value, $100B, based on high end of range as reported by The Wall Street Journal, March 5, 2018. Sources: The Wall Street Journal, S&P Capital IQ, PitchBook and SVB analysis. State of the Markets 9 Both Enterprise and Consumer Find Success Struggling to prove their growth stories, the stocks of Snap and Blue Apron have sunk, dragging down public perception of consumer tech. However, the data shows solid early performances for both enterprise- and consumer-facing businesses can enjoy success relative to private valuations. Market Cap Relative to Last Private Valuation: $1B+ U.S. Tech IPOs from March 2017–March 2018 5.0x Consumer $2.0B1 Enterprise 6.6x LPV2 $4.1B 4.1x LPV 4.0x $5.9B4 3.9x LPV $4.2B 3.6x LPV $3.3B $3.1B 3.0x 3.1x LPV 3.1x LPV $1.9B $1.2B 2.0x 2.3x LPV 2.3x LPV $12.3B $2.2B 1.2x LPV 1.4x LPV 1.0x $19.5B $3.0B 1.0x LPV 0.7x LPV $0.4B 0.0x 0.2x LPV 3 01/17IPO 02/171 03/172 04/173 05/174 06/175 07/176 08/177 09/178 10/179 11/1710 12/1711 01/1812 02/1813 Months Trading Since IPO Notes: 1) Market Cap is as of March 31, 2018. 2) Market cap as of March 31, 2018 relative to the last private valuation available. 3) IPO offer price is the first data point for each company to capture the pop from its first day of trading. 4) MuleSoft announced its sale to Salesforce on March 20, 2018. Sources: S&P Capital IQ, PitchBook and SVB analysis. State of the Markets 10 Public Multiples Bode Well for Venture Deals Valuations for forthcoming private SaaS venture deals continue to closely track their public company counterparts as consensus grows around key business metrics. Growth is still being rewarded: The much higher revenue growth rates for companies within the private transactions set (~60% vs. BVP1 median: ~30%) compensates for the typical illiquidity discount. Enterprise Software Valuations: Revenue Run Rate Multiple2 10.0x 9.0x Median of Next 20 Private Forecast4 Enterprise Software Transactions3 8.0x 7.0x 6.0x 5.0x Median of BVP CloudIndex 4.0x Example: In mid-November 2015, the Public Companies median of the BVP Cloud Index was 6.6x. The next 20 transactions (as captured by 3.0x SVB data) had a median multiple of 7.6x. 2.0x 2015 2016 2017 Q1’18 Notes: 1) More infoformation on BVP Cloud Index at: https://www.bvp.com/strategy/cloud-computing/index. 2) Revenue run rate = Most Recent Quarter’s Revenue x 4. Valuations based on pre-money for private transactions and total enterprise value for public companies. 3) Data based on SVB’s observations of ~120 private market transaction multiples of venture-backed companies with $25M+ in run rate. 4) Forecast based on median premium for private transactions relative to public market multiples. Sources: Bessemer Venture Partners, S&P Capital IQ, SVB proprietary data and SVB analysis. State of the Markets 11 Another Round of Mega-Rounds State of the Markets 12 Private Markets Dominate Traditionally, companies seeking significant capital would accept the added transparency and scrutiny of the public markets.
Load more

Recommended publications
  • Services & Offerings
    STAG DINING 2020 SERVICES & OFFERINGS Meal Kits - Pantry Provisions - Natural Wine - Gifting - Cocktail Kits & Classes - Event Space - Crenn Farm 1 LETTER FROM STAG 4 STAG DINING GROUP STAG OVERVIEW MEAL KITS & OFFERINGS 8 NATURAL WINES 10 COCKTAIL KITS & CLASSES 12 WINEMAKING PARTNERS 16 CRENN & STAG 18 OUR VENUE 22 CLIENTS 27 TEAM 28 CONTACT 32 STAG DINING GROUP 925 O'Farrell St San Francisco, CA 94109 (415) 944-2065 [email protected] www.stagdining.com DERBY COCKTAIL CO www.derbycocktail.co CERF CLUB www.cerfclub.com © 2020 Stag Dining Group Select Photography by David Dines, dines.co 2 3 WITH A DECADE OF EXPERIENCE IN HOSPITALITY, WE HAVE NEVER SEEN A CHALLENGE THAT FACES US QUITE LIKE THE ONE POSED BY COVID-19. With virtually every restaurant worker out of a job, and traditional supply chains for food, wine and spirits broken, we have been UPDATED OFFERINGS seeking opportunities to mend those bonds in pragmatic ways while continuing to serve our customers. Our revised offerings are an attempt to help our clients engage their stakeholders, employees MEAL KITS and clients in ways that are fitting for this time and address the social, racial, environmental and biological crises that we are PANTRY PROVISIONS facing collectively as a society. NATURAL WINE At Stag Dining Group we believe every plate and every glass GIFTING tells a unique story, and we make every effort to connect guests COCKTAIL KITS & CLASSES to each other, to the environment and to the thought leaders of CRENN FARM this industry in authentic ways. Since our inception, we have witnessed the power that transformative culinary experiences have CERF CLUB EVENT VENUE on our guests and the conversations that can be sparked at the table.
    [Show full text]
  • In Eastern Partner Countries
    EU4Digital: supporting digital economy and society in the Eastern Partnership Market Assessment for Digital Innovation and Scale-up Initiative in Eastern partner countries Final report June 2020 1 About this study In early 2020, EU4Digital Facility launched activity ‘Market Assessment for Digital Innovation and Scale-up Initiative (DISC) in Eastern Partner Countries’ (hereinafter – study / research) The goal is to analyse the investment landscape for digital high tech companies in these countries: Armenia, Azerbaijan, Belarus, Georgia, the Republic of Moldova and Ukraine. The activity was inspired by Digital Innovation and Scale-up initiative (DISC) in Central, Eastern and South Eastern Europe region (European Commission Factsheet). Based on the findings of this study, the European Commission will be able to adjust its plans to better serve the needs of the local markets, developing adapted financial support instruments. This research aims to: 1. Understand digital innovation and high-tech start-ups investment landscape and identify existing gaps on investment in Eastern partner countries. 2. Map the main private & corporate equity investors that provide financing to digital start-ups and fast growth companies in Eastern partner countries. 3. Map the main public sector investment programs in start-up / tech-oriented companies at the country-level. 4. Analyse micro-level data on private investments in start-up / tech-oriented companies in the region. 5. Provide recommendations to develop and use financial instruments for digital innovation and the scale-up of high-tech start-ups. The research focuses on start-ups at the creation and scale-up phases, rather than traditional SMEs on their path to digitalisation.
    [Show full text]
  • How to Catch a Unicorn
    How to Catch a Unicorn An exploration of the universe of tech companies with high market capitalisation Author: Jean Paul Simon Editor: Marc Bogdanowicz 2016 EUR 27822 EN How to Catch a Unicorn An exploration of the universe of tech companies with high market capitalisation This publication is a Technical report by the Joint Research Centre, the European Commission’s in-house science service. It aims to provide evidence-based scientific support to the European policy-making process. The scientific output expressed does not imply a policy position of the European Commission. Neither the European Commission nor any person acting on behalf of the Commission is responsible for the use which might be made of this publication. JRC Science Hub https://ec.europa.eu/jrc JRC100719 EUR 27822 EN ISBN 978-92-79-57601-0 (PDF) ISSN 1831-9424 (online) doi:10.2791/893975 (online) © European Union, 2016 Reproduction is authorised provided the source is acknowledged. All images © European Union 2016 How to cite: Jean Paul Simon (2016) ‘How to catch a unicorn. An exploration of the universe of tech companies with high market capitalisation’. Institute for Prospective Technological Studies. JRC Technical Report. EUR 27822 EN. doi:10.2791/893975 Table of Contents Preface .............................................................................................................. 2 Abstract ............................................................................................................. 3 Executive Summary ..........................................................................................
    [Show full text]
  • Download the Full Report
    SovereignWealthFunds15:Maquetación 1 20/10/15 17:57 Página 1 SovereignWealthFunds15:Maquetación 1 20/10/15 17:57 Página 2 Editor: Javier Santiso, PhD Associate Professor, ESADE Business School Vice President, ESADEgeo - Center for Global Economy and Geopolitics SovereignWealthFunds15:Maquetación 1 20/10/15 17:57 Página 3 Index Foreword 5 Executive Summary 7 Direct investing by sovereign wealth funds in 2014: The worst of times, the best of times 11 I Geographic Analysis 21 Sovereign wealth funds in Spain and Latin America: Spain's consolidation as an investment destination 23 Sovereign wealth funds from Muslim countries: Driving the Halal industry and Islamic finance 37 Different twins and a distant cousin: Sovereign wealth funds in Hong Kong, Singapore and South Korea 51 II Sector Analysis 65 Sovereign wealth funds and the geopolitics of agriculture 67 Sovereign Venture Funds 79 The kings of the king of sports: Sovereign wealth funds and football 95 Financing of the digital ecosystem: The “disruptive” role of SWFs…Reconsidered 109 Sovereign wealth funds and heritage assets: An investor’s perspective 121 ANNEX. ESADEgeo Sovereign Wealth Funds Ranking 2015 133 Sovereign wealth funds 2015 Index 3 SovereignWealthFunds15:Maquetación 1 20/10/15 17:57 Página 4 SovereignWealthFunds15:Maquetación 1 20/10/15 17:57 Página 5 Preface SovereignWealthFunds15:Maquetación 1 20/10/15 17:57 Página 6 1. Preface The pattern of world economic growth during 2015 has undergone In both 2014 and 2015 developed and emerging countries' a significant change relative to previous years. While the developed sovereign wealth funds have continued to feature prominently in economies succeeded in shaking off their lethargy and improving significant strategic transactions worldwide.
    [Show full text]
  • Enterprise Tech 30—The 2021 List
    Enterprise Tech 30—The 2021 List Rajeev Chand Partner Head of Research The Enterprise Tech 30 is an exclusive list of the most promising private Peter Wagner companies in enterprise technology. The list, which is in its third year, is Founding Partner based on an institutional research and survey process with 103 leading venture capitalists, who are identified and invited based on their track Jake Flomenberg Partner record, expertise, and reputation for discernment. Olivia Rodberg The Enterprise Tech 30 is now a platform for the startup community: a Research Associate watershed recognition for the 30 companies and a practical and February 24, 2021 invaluable resource for customers, partners, journalists, prospective team members, service providers, and deal makers, among others. We are pleased to present the Enterprise Tech 30 for 2021. Wing Venture Capital 480 Lytton Avenue Palo Alto, CA 94301 Early Mid Late 1. Modern Treasury 1. Zapier 1. HashiCorp 2. Privacera 2. Fishtown Analytics 2. Stripe 3. Roam Research 3. Retool 3. Databricks 4. Panther Labs 4. Netlify 4. GitLab 5. Snorkel AI 5. Notion 5. Airtable 6. Linear 6. Grafana Labs 6. Figma 7. ChartHop 7. Abnormal Security 7. Confluent 8. Substack 8. Gatsby 8. Canva 9. Monte Carlo 9. Superhuman 9. LaunchDarkly 10. Census 10. Miro 10. Auth0 Special Calendly 1 2021 The Curious Case of Calendly This year’s Enterprise Tech 30 has 31 companies rather than 30 due to the “curious case” of Calendly. Calendly, a meeting scheduling company, was categorized as Early-Stage when the ET30 voting process started on January 11 as the company had raised $550,000.
    [Show full text]
  • Portfolio Management Revolution Technology Trending Paper Silicon Valley, CA Q4 2014
    The Portfolio Management Revolution Technology Trending Paper Silicon Valley, CA Q4 2014 The Portfolio Management Revolution Over the past few years, a new crop of online wealth man- agement startups has come on the scene, threatening to disrupt a profitable business line once the sole province of banks and private advisors. Betterment, for example, in four years has On the back end, technology startups such grown to over 50,000 customers and man- as Addepar, MyVest, and Kensho are serving ages more than $1B in assets. Such consum- wealth managers and private bankers by pro- er-facing services, known as robo-advisors, viding platforms that increase efficiency, feed also include Wealthfront, SigFig, Personal intelligence on market moving global trends, Capital, FutureAdvisor, and several others. and otherwise bring portfolio management into the 21st century. The emerging class of portfolio analytics Venture capital (VC) has pumped $800M into startups represent the new face of wealth man- the space over the last two years, recognizing agement, and their popularity attests to this. the runaway popularity of the new services and Many of the consumer-facing startups are aimed the vast potential for profitability. Investment is at the younger picking up speed. In generations, which the second quarter have high expecta- As wealth is transferred of 2014 alone, tions and, in many from the boomer investment in per- cases, are ignored sonal finance ser- by traditional pri- generation to generations vices was $261M, vate wealth man- according to CB agers and banks X and Y, it will represent Insights. who doubt the a $41T opportunity.
    [Show full text]
  • Financial Services Deals for July 2018
    Financial Services Deals for July 2018 Company Name Description Deal Synopsis Ajax Health Provider of operational and financial support to the The company received $124.97 million of development capital emerging medical device companies. The company from Kohlberg Kravis Roberts, Aisling Capital, Iconiq Capital, operates healthcare companies that address significant HealthQuest Capital, Polaris Partners, WTI and other unmet needs by developing emerging medical device undisclosed investors on July 19, 2018. technologies and focuses on improving lives and bringing speed, simplicity and cost efficiency to healthcare. Applied Data Finance Developer of consumer financial platform intended for The company raised $145 million of development capital from lending money. The company's platform provides MAI Capital Management, Park Cities Asset Management, underestimated under-banked consumer loans and credit Victory Park Capital (Illinois), and other undisclosed investors on facilities to non-prime borrowers through assessment of July 25, 2018. This new capital will accelerate the company's credit risk using technology and advanced data science continued growth to reach individuals in need of and machine learning enabling consumers credit and loan straightforward, affordable loans. facilities as per their requirement and capability to payback. FinTech Acquisition II Operator of a blank check company. The company's The company (NASDAQ: FNTE) was acquired by International formation was facilitated for the purpose of effecting a Money Express, via its financial sponsor Stella Point Capital, merger, capital stock exchange, asset acquisition, stock through a reverse merger, resulting in the combined entity purchase, reorganization or the similar business trading on the NASDAQ Stock Exchange on July 26, 2018. combination.
    [Show full text]
  • Q2 2018 Venture Capital Deals and Exits 3 July 2018
    DOWNLOAD THE DATA PACK Q2 2018 VENTURE CAPITAL DEALS AND EXITS 3 JULY 2018 Fig. 1: Global Quarterly Venture Capital Deals*, Fig. 3: Number of Venture Capital Deals in Q2 2018 by Q1 2013 - Q2 2018 Fig. 2: Venture Capital Deals* in Q2 2018 by Region Investment Stage 4,500 80 100% Angel/Seed 7% 5% 1% 3% 4,000 2% 70 Aggregate Deal Value ($bn) 90% 1% 6% 3% Series A/Round 1 Other 1% 3% 3,500 60 80% 4% Series B/Round 2 3,000 50 70% 31% Israel 6% 2,500 54% 36% Series C/Round 3 60% 40 India 2,000 Series D/Round 4 and 50% No. of Deals 30 1,500 17% Later Greater China Growth 40% 16% 1,000 20 8% Capital/Expansion Proportion of Total Europe PIPE 500 10 30% 0 0 20% 37% North America Grant 31% Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 10% Venture Debt 30% 2013 2014 2015 2016 2017 2018 0% Add-on & Other No. of Deals Aggregate Deal Value ($bn) No. of Deals Aggregate Deal Value Source: Preqin Source: Preqin Source: Preqin Fig. 5: Average Value of Venture Capital Deals by Investment Fig. 4: Venture Capital Deals* in Q2 2018 by Industry Stage, 2016 - H1 2018 Fig. 6: Number of US Venture Capital Deals* in Q2 2018 by State 40% 37% 140 35% 120 115 117 104 30% 2016 100 California 25% 24% 23% 80 80 2017 20% 34% New York 36% 14% 15% 60 49 15% 13% 13% 41 Q1-Q2 12% Massachusetts 40 32 29 32 29 2018 Proportion Proportion of Total 9% 26 2828 28 10% 8% 16 22 5% 5% Average Deal Size ($mn) 20 1211 5% 4% 4% 4% Washington 2% 1% 3%2% 2% 2 2 2 0% 0 Illinois 4% Other Round 3 Round 1 Round 2 Series C/ Series Series A/ Series B/ Series 4% Internet Other IT Other Other Services Business Food & Related Telecoms 13% Angel/Seed Industrials Healthcare Agriculture Software & 9% Consumer Expansion Venture Debt Venture 4 and Later Discretionary Series D/Round Series Growth Capital/ No.
    [Show full text]
  • The State of Growth Equity for Minority Business: a River of Capital Flowing Past Our Communities
    The State of Growth Equity for Minority Business | 1 The State of Growth Equity for Minority Business: A river of capital flowing past our communities Marlene Orozco and Eutiquio “Tiq” Chapa The State of Growth Equity for Minority Business | 2 The NAIC (www.naicpe.com) was formed in 1971 as About this White Paper the American Association of MESBICs (AAMESBIC), Inc., under President Richard M. Nixon’s Black Capital- ism program, which sought to ease access to capital The National Association of Investment for diverse business. During the 1980s, AAMESBIC Companies, Inc. (NAIC) commissioned this report lobbied successfully for legislation that would allow alongside the report by Lawrence C. Manson, Jr., diverse firms to repurchase the preferred stock from “Access to Capital: Accelerating Growth of Diverse- the U.S. Small Business Administration (SBA) while and Women-Owned Businesses,” as part of a grant raising funds that were not SBA regulated. AAMESBIC from the Minority Business Development Agency firms began approaching pension funds and other (MBDA), an agency within the United States Depart- institutional investors to raise larger pools of capital. ment of Commerce. The grant seeks to facilitate the aggregation and deployment of $1 billion in growth In the next decade, the organization changed its name equity capital to ethnically Diverse- and Women- to the National Association of Investment Companies, Owned Business Enterprises (DWBEs). Inc. as most members had turned from reliance on the SBA to become independent, institutional private equi- ty firms. Today, the NAIC has a membership of more In this report, Marlene Orozco, Chief Executive Officer than 80 diverse private equity and hedge fund firms of Stratified Insights, LLC, a premier research managing more than $165 billion in assets.
    [Show full text]
  • Largest Venture Capital Deals and Exits; Deals by Value and Stage
    The Preqin Quarterly: Private Equity, Q3 2012 This report is an excerpt from: Preqin Quarterly: Private Equity, Q3 2012. To download the full report please visit: https://www.preqin.com/docs/quarterly/PE/Private_Equity_Quarterly_Q3_2012.pdf Largest Venture Capital Deals and Exits; Deals by Value and Stage Fig. 42: Average Value of Venture Capital Deals by Stage, Fig. 43: Proportion of Number and Aggregate Value of Venture 2010 - 2012 YTD Capital Deals by Industry, Q3 2012 45 30% 28% 40 25% 35 21% 22% 30 20% 18% 25 17% 16% 15% 20 12% 15 10% 8% 8% 7% 6% 10 5% Average Deal Size ($mn) Average 5% 4% 4% 5% 4% 3% 5 2% 3% 3% 2% 2% 0 0% Other Seed Debt Angel/ Angel/ Disc. Venture Other IT Internet Business Series B/ Series Round 2 Services Round 1 Round 3 Series A/ Series Series C/ Series Growth Round 4 Round Series D/ Series Capital/ Related Telecoms and Later Industrials Semic. & & Semic. Expansion Consumer Electronics Cleantech Software & Healthcare Unspecified 2009 2010 2011 2012 YTD No. of Deals Aggregate Value of Deals Source: Preqin Venture Deals Analyst Source: Preqin Venture Deals Analyst Fig. 44: 10 Largest Venture Capital Deals, Q3 2012 Deal Size Name Date Stage Investors Primary Industry Location (mn) Square Sep-12 Series D/Round 4 200 USD Citi Ventures, Rizvi Traverse Management, Starbucks Mobile Payments US Flipkart Aug-12 Series D/Round 4 150 USD Accel Partners, Iconiq Capital, Naspers, Tiger Global Management Internet India Bessemer Venture Partners, Draper Fisher Jurvetson, General Growth Capital/ Box.net, Inc. Jul-12 125 USD Atlantic, New Enterprise Associates, SAP Ventures, Scale Venture Cloud Computing US Expansion Partners, The Social+Capital Partnership Andreessen Horowitz, Atomico, Baroda Ventures, DOCOMO Fab.com Jul-12 Series C/Round 3 105 USD Capital, First Round Capital, Mayfi eld Fund, Menlo Ventures, Internet US Pinnacle Ventures, ru-Net Ltd.
    [Show full text]
  • Equity Financing Decreased to 50.8% for Large Corporate in 2021-Q2
    AMERICAN INVESTMENT COUNCIL 2021-Q2 Private Equity Trends Table of Contents Page Deal Activity 3 Deal Financing and Pricing 6 Fundraising 11 Exits 13 PAGE 2 2021-Q2 Investment volume and number of deals increased by 60% and 61% respectively from 2020-Q2 Deal Value (Bil.) No. of Deals $800 6,000 $700 $753 $745 $684 5,000 $600 $648 $596 $500 4,000 $533 $505 $400 $441 3,000 $300 $380 $345 2,000 $200 $283 1,000 $175 $100 $173 $0 - 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 Q1 Q2 2021 2021 PAGE 3 Source: PitchBook The 10 largest U.S. private equity deals in 2021-Q2 accounted for 29% of total deal value Investment Value Rank Company Description Date Financial Sponsor (Bil.) Business/Productivity RealPage 4/22/2021 $10.20 Thoma Bravo 1 Software IT Consulting and Perspecta 5/06/2021 $7.10 Peraton, Veritas Capital 2 Outsourcing Apollo Global Management, Certares, Hertz Road 5/12/2021 $6.50 3 Knighthead Capital Management Insight Partners, Norwest Venture Partners, CoreLogic Other Commercial Services 6/04/2021 $6.00 4 Stone Point Capital BayPine, StepStone Group, TSG Mavis Tire Supply Automotive 5/04/2021 $6.00 5 Consumer 6 Michaels Stores Specialty Retail 4/15/2021 $5.00 Apollo Global Management 7 Pluralsight Educational Software 4/06/2021 $3.50 Vista Equity Partners Elliott Management, Evergreen Coast Cubic Aerospace and Defense 5/25/2021 $3.10 8 Capital, Veritas Capital 9 A Cloud Guru Educational Software 6/02/2021 $2.00 Pluralsight, Vista Equity Partners Network Management ThycoticCentrify 4/13/2021 $1.40 Centrify, TPG 10 Software Note: The list above only reflects completed private equity transactions with disclosed investment values PAGE 4 Source: PitchBook, Web search transactions decreased to decreased transactions The average proportion of equity financing for LBO Sources of Financing of Sources 100% 20% 40% 60% 80% 0% 2003 34.8% 4.7% 54.5% includes bank debt, secured debt, senior unsecured debt, public/high yield debt, bridge loan and mezzanine debt.
    [Show full text]
  • Venture Capital Report
    Venture Capital Report U.S. | 4Q | 2018 VENTURE CAPITAL REPORT VENTURE CAPITAL REPORT The following report presents Dow Jones VentureSource’s quarterly findings for U.S. venture capital investment, fundraising, and liquidity. The included charts and graphs offer a comprehensive view of the trends currently affecting the venture capital market. Highlights for 4Q 2018 include: • A long-building tsunami of VC cash crested in 4Q, obliterating all quarterly and annual records for equity investment. • VC fundraising surged again with the fourth-largest quarter on record, helping to end 2018 with the biggest annual haul in 18 years. • The M&A market had its second-best quarter on record, catapulting 2018 as the top year ever for both the number of M&A transactions and the amounts paid. • VC-backed companies going public had a more mixed quarter, but ended 2018 as the best year for IPOs since 2014. • The San Francisco Bay area took 61% of all capital invested into U.S. companies in 4Q, by far the most extreme regional concentration ever seen. (The Bay Area average dating back to 1992 is 33%.) VENTURE CAPITAL REPORT 2 UNPRECEDENTED QUARTER AND YEAR BREAKS RECORDS FOR U.S. EQUITY INVESTMENT FINANCING Equity Financings in U.S.-Based, In a year when every single quarter set a new all-time VC-Backed Companies (2015–2018) record for equity investment, the final quarter managed to $45.00 1600 leap 33% above 3Q’s already staggering figure for capital raised. Altria Group’s $12.8 billion financing for Juul Labs $40.00 1400 $35.00 Inc.
    [Show full text]