PitchBook News - Why is VC dry powder still piling up?

Read online | Don't want to receive these emails? Manage your subscription.

Log in

The Daily Pitch: VC

January 16, 2023

The Daily Pitch is powered by PitchBook’s industry-defining research and best-in-class data

Today's Top Stories

Why is VC dry powder still piling up?

(maoyunping/Shutterstock)

VC firms continued to accumulate a growing pile of cash as of the end of Q3 last year, while the dry powder for other private asset markets—including private equity, private credit and secondaries—declined, according to PitchBook data.

The heavy presence of nontraditional investors in venture deals has contributed to the record stockpile of undeployed capital held by VC investors. At the same time, strong fundraising in the first half of 2022 also added to VC firms' war chests.

Recommended Reads

A new study shows Exxon's scientists were uncannily accurate in their global warming projections from the 1970s onward. [The Guardian]

Charting out what experts and decision-makers perceive as the greatest risks to humanity. [Visual Capitalist]

The number of UFO sightings reported to the Pentagon has risen sharply in the last year, according to an unclassified government report. [Axios]

Since yesterday, the PitchBook Platform added:

1

VC valuations

69

People

68

Companies

See what our data software can do

Quick Takes

	The Daily Benchmark
	2019 Vintage Global VC Funds
	VC Deals
	Welcome Homes collects $29M
	Insurance specialist Joyn nabs $17.7M
	CyberX rakes in $15M
	Portfolio Companies
	Gemini Trust hit with SEC complaint
	Altum lends $4M to VC-backed Uk University
	Sealed snags InfiSense
	Fundraising
	New firm Theory Ventures targets $200M fund

The Daily Benchmark

2019 Vintage Global VC Funds

Median IRR

35.03%

Top Quartile IRR

62.45%

1.36x

Median TVPI

Select top performers

Flexcap Fund I

Grayscale STRIVE Fund 2

Creandum V

*IRR: net of fees

80 Funds in Benchmark »

Check out the latest version of PitchBook Benchmarks

VC Deals

Welcome Homes collects $29M

Welcome Homes, which offers a platform for designing and building single-family homes, has raised a $29 million Series A led by Era Ventures.

View round

View similar company »

Insurance specialist Joyn nabs $17.7M

OMERS Ventures has led a $17.7 million Series A for Joyn, which provides insurance to small and medium-sized businesses.

View round

View similar company »

CyberX rakes in $15M

CyberX, a crypto market maker, has raised $15 million from Foresight Ventures, CoinDesk reported. Market makers act as trading firms and platforms for cryptocurrency tokens.

View round

View similar company »

PitchBook webinar: 2023 European Private Capital Outlook

Join us for a webinar examining developments in the European private capital markets and the outlook for 2023. PitchBook analysts will discuss important deals, exit trends and fundraising activity, along with what could be on the horizon for the landscape in a time of global market uncertainty. Key takeaways include:

The European VC and PE dealmaking landscape in 2022 and beyond.

An update on the exit environment and its impact on PE- and VC-backed companies.

Challenges and opportunities within fundraising for GPs and LPs.

Register now to secure your spot.

Share:

Portfolio Companies

Gemini Trust hit with SEC complaint

The SEC has charged Gemini Trust, a crypto exchange provider run by Cameron Winklevoss and Tyler Winklevoss, in a complaint alleging it offered unregistered securities. Genesis, a subsidiary of Gemini, is also part of the complaint.

View details

View 44 competitors »

Altum lends $4M to VC-backed Uk University

Uk University, or Universidad Uk, has secured $75 million Mexican pesos (about $4 million) from Mexican private lender Altum Capital. The university, which is based in Mexico City and serves Latin America, has other backers including Potencia Ventures, Zoma Capital and the Inter-American Development Bank.

View details

View 1 serviced firms »

Sealed snags InfiSense

Climate-tech startup Sealed has acquired InfiSense, a data company specializing in building performance, for an undisclosed sum. Sealed raised a $45.5 million Series B led by Fifth Wall last year.

View details

View 1 competitors »

Fundraising

New firm Theory Ventures targets $200M fund

California-based Theory Ventures has begun raising capital for its first fund and hopes to collect $200 million, The Wall Street Journal reported. The firm, founded by Tomasz Tunguz, will focus on making seed and Series A investments in enterprise software companies.

View details

View investment »