More Trends with IPOs and VC Investment

Came across a few more tidbits since my previous post on IPOs. The first comes from Fortune’s Dan Primack who reported that “ten companies have priced U.S. IPOs so far [last] week, and each one has done so either at the bottom of their proposed price range, or below it altogether.” He thinks we’re moving into “trend” territory now.

On the flip side the latest MoneyTree report from PwC, the NVCA and Thomson Reuters reports that venture capitalists invested the most money since Q2 2001 last quarter. Overall, VCs pumped $9.5 billion into 951 U.S.-based companies last quarter, representing a 12% increase in dollars and 14% decrease in deals from Q4 2013.

The quarter included nine rounds of $100 million or more, including top raiser Dropbox ($325m). Software was the leading sector with more than $4 billion, followed by biotech (1.06b), IT services ($815m) and media/entertainment ($743m). Silicon Valley topped the pack regionally with a whopping $4.7 billion for its startups, followed by New England ($1.01b), New York Metro ($961m) and LA/Orange County ($519m).

Chamath Palihapitiya – We’re not Interested in Your Harvard MBA

Chamath Palihapitiya of The Social + Capital Partnership made a little noise over the weekend at the 20th Annual HBS Venture Capital and Private Equity Conference where he told current MBA candidates that “the overwhelming majority of [VCs] would not look favorably on a company started by one of you.”

Fortune’s Dan Primack did a little digging to see how just how true this statement was. Using Aileen Lee’s unicorn list (the 39 companies founded in 2003 or later that received private and/or public valuations over $1 billion), he determined that “just three such companies had at least one co-founder who went to HBS (and one of them, Yelp’s Jeremy Stoppleman, dropped out after one year).”

Furthermore, “it wasn’t just an HBS issue. Only 12 of the 39 companies had any MBAs within their co-founding teams and, of those, only four had multiple MBAs.”

You can read more over on DealBook.