Pre IPO valuation cuts
With instacart and stripe leading the way it’s clear private company valuations are correcting with the public market drops. Which other pre IPO company do you think will see valuation drops ? Gopuff ? Fast ? What about all those bloated neo banks like Brex and chime? TC: 300k Yoe: 2 #investments
Unless the company intends to raise another round i doubt they will lower their 409a or announce any drop. The only reason you heard anything about Stripe is because they had a large public institutional investor that needed to disclose, and that drop was solely based on Fidelity’s personal research. For context, I currently am in discussion with a late stage company who last raised in q4 and they are trying to issue shares at that round’s preferred price. Total bs but it’s hard asking for 20-50% more equity based on my own (although arguably well informed) take of the market : /
Of course the companies that raised in the later half of 2021 are good because they probably have enough runway and don’t have to tip their hand. I recently did that too and hence asked about this because I’m still worried if I got in at a super inflated valuation. Probably best to ask solely based on merit and interview performance. Questioning their fundamentals is a hard idea to sell.
I think fast will just fail. Too early stage to see a valuation drop but idk, anything’s possible in markets like these
When did stripe cut valuation? I don't see anything about that on the internet.
Fidelity kinda sorta lowered it. It’s complicated with stripe because they’re too big I guess. But my point is that the broader sentiment is that private valuations are bloated AF
https://www.businessinsider.com/strip-instacart-valuations-cut-by-fidelity-again-2022-3
Uber also had valuation cut when raising from SoftBank. If a company need to raise again or go IPO, it may need to cut valuation if perceived bloated by investors.
Block is about to get chopped, pretty much all BNPL fintech, most proptech mortgage repackagers
Gopuff will maintain its 15b valuation as they were planning to go ipo targeting 40b. Now with layoffs and profitability in mind I think they still have a good chance in keeping or raising their valuation a little
Bolt is the most overvalued tech company right now and it's not close.
I had an offer from them i had to reject after learning the strike price 😬
@TC?! Can you share the range?
Bolt. Currently in the offer stages and the equity numbers are just ridiculous. They even give you a sheet comparing what your equity value will be if the company is worth a 100B :D
Lmao 😅😅
Curious what happens to me. I actually think our valuation will hold.
Y’all might hold, but I guess delayed IPO?
Oh definitely a delayed IPO lol interally we know nothing and dont expect one any time soon