According to data aggregated by Carta, an ownership and equity management platform, private capital raising trends noticeably shifted in 2022. Companies in Carta’s database raised $107 billion in 6,123 deals in 2022. Overall, deal count declined by 29% and capital raised dropped by 50% in 2022 compared to 2021. While venture deals in 2021 broke
Global Insurtech Trends in 2022
CB Insights’ State of Insurtech 2022 provides a perspective on trends in the sector. In 2022, global insurtech funding fell over 50% to $8.4 billion, following 2021’s record-breaking total funding of $17.8 billion. With about $1 billion in funding, the fourth quarter of 2022 marked the lowest amount raised since the second quarter 2018.
Down
Global VC Funding Trends in 2022 Q3
The CB Insights’ State of Venture Report for the third quarter of 2022 notes that global venture funding declined to $74.5 billion in the third quarter, down 58% from the funding peak in the fourth quarter of 2021. This represents a quarter-over-quarter contraction of 34%, the largest quarterly percentage drop in a decade, with the
Unicorniphobia
In the paper, “Unicorniphobia,” Alexander I. Platt counters the viewpoint held by many legal scholars and regulators, including the SEC, that unicorns pose regulatory, financial, and social risks. Many recent articles argue that unicorns pose concerns because: they are not subject to SEC reporting and SEC scrutiny and oversight; unicorn CEOs/founders are usually innovative but
Notable Trends in the Private Markets
The private market ecosystem experienced strong growth in 2021. The number of recognized unicorns (defined as private companies having $1B+ valuation) grew from 564 in 2020 to 882 in 2021. Nasdaq Private Markets’ (“NPM”) 2021 Annual Report noted that in addition to elevated deal size for companies, secondaries have evolved as an avenue to provide
Global Venture Financing Trends in 2021 Q2
According to CB Insights’ latest State of Venture Report, global startup financing in Q2’21 reached $156.2 billion, a 157% year-over-year increase and a record quarter high. U.S. startup funding accounted for the largest portion of the global quarter total, raising $70.4 billion, followed by Asia raising $42.2 billion. Meanwhile, funding to China-based companies continued
A Look Back at Automotive & Mobility Financing Trends
Global funding for companies in the automotive and mobility sectors fell to $27.6 billion in 2020, a 5% decrease year-over-year, with 522 deals completed according to CB Insights’ recent report and webinar on the State of Mobility. While the first half of 2020 was particularly affected by the COVID-19 pandemic, the second half of
Alternative Venture Capital: The New Unicorn Investors
In a new paper, Alternative Venture Capital: The New Unicorn Investors, professor Anat Alon-Beck explores the rise of alternative venture capital (AVC) investors and the ways in which these investors are affecting unicorn companies. The paper cautions that that many of the calls being made by industry groups, such as the Institute for Portfolio
A Deep Dive Into Capital Raising Alternatives: IFLR’s New Book and Free Webinars
In the International Financial Law Review’s latest publication, A Deep Dive Into Capital Raising Alternatives, Mayer Brown provides context on the changes in market structure and market dynamics that led to the enactment of the JOBS Act. Specifically, the trend for many private companies to remain private longer, defer or dispense with traditional
Fintech Sector Financing Update
Funding in the fintech sector increased 17% quarter-over-quarter, after two quarters of declines, to $9.3 billion according to CB Insights’ recent State of Fintech report. Despite the funding increase, the number of deals continued to decline globally, continuing the decline since the fourth quarter of 2019. In the second quarter of 2020, 397 global venture-backed