Flashcards in Mar 7 - Mar 13 Deck (15):
Investors - transition from last round to IPO
IPO valuations in 2015 55% higher than final private round valuations so so investors still have a large cushion before post-IPO declines erase gains.
Later round investors face more risk particularly when IPO valuations are below final round valuations (zynga, square, box)
Allow an investor to prevent public offering if IPO price is not above the implied valuation from prior round of fundraising.
Provide additional shares to certain investors if the IPO is below predetermined level, diluting other investors
The way sales proceeds are distributed among different investors.
Senior liquidation preference moves a recipient to the top of the queue
Ratchets, senior liquid preferences, and blocking rights
These shareholder provisions can hamper future fund-raising or impede M&A exits to strategic buyers at lower, more realistic valuations.
A way to get new capital, so could be lend to deceptive valuations in an optimistic market
Each year: 4000 startups seek capital -> 200 startups secure funding from a top tier VC firm -> 15 achieve $100 million in revenue -> these 15 represent 97% of earnings
Self-driving car-startup acquired by GM for over $1B
Backed by YC, Spark capital, and Signia Venture Partners
Provider of shared working spaces
Valued at $16B
WeWork Labs - incubator
CEO- Adam Neumann
Cambridge-based startup making inexpensive tablets that run android operating system.
Their hope- automatic upgrades once a moth can help it outmaneuver and out-innovate the giants.
Enables scientists to post data to their cloud. Datarobots software then automatically preprocesses the data and identifies algorithms that are optimized to solve the problems the user has.
Investors include Atlas Ventures, New Enterprise Associates, and Intel Capital
Their robot, Relay, makes deliveries, with a current focus on hotels.
Intel capital is an investor.
Wireless charging that enables a venue to gather customer information, push promotions, advertising, and other content in exchange for offering wireless charging to its guests
Intel capital invested
Helps devices connect through high-frequency audio tones
CEO- Rodney Williams
Intel capital invested as part of their diversity fund