PitchBook News - Retail fintech fights inflation's bite

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

Log in

The Daily Pitch: VC

March 27, 2023

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

In today's Daily Pitch, you'll find:

First Citizens Bank has agreed to buy most of Silicon Valley Bank, weeks after the lender’s collapse sent shockwaves through the banking system.

Unpacking emerging opportunities for retail fintech investors in loyalty and rewards, alternative investments and more.

A tighter debt market has created opportunities for alternative lenders.

A nuanced analysis of the top five arguments against the use of ESG strategies.

Today's Top Stories

Credit card perks and loyalty bonuses: Retail fintech fights inflation's bite

Retail fintech deal activity has aggressively reverted to pre-2021 levels and last quarter was no different. Our Q4 2022 Retail Fintech Report uncovers the recession indicators within the data: Deal values, exits and counts fell across the board, while loyalty programs and alternative assets present winning opportunities in today's high-inflation era.

Retail fintech VC deal value declined 73.4% year-over-year in Q4, reaching its lowest level since Q3 2018. Late-stage retail fintechs had a particularly hard fall: Exit value dropped from $195.3 billion in 2021 to $5.7 billion in 2022.

Fintech investors are shifting toward B2B: Just 38.4% of all fintech VC deal value for 2022 was in retail. Meanwhile, B2C digital banks like Chime and Varo are facing the heat as investors remain unconvinced of profitability and higher borrower delinquencies risk hurting bottom lines.

Alternative asset providers are another niche primed for takeoff, ranging from NFTs and fine-wine investing to real estate.

read the preview

Share:

Failed SVB to be taken over by First Citizens

(NurPhoto/Getty Images)

North Carolina-based First Citizens Bank has agreed to buy most of SVB just weeks after the lender’s collapse.

SVB’s startup and venture customers will now have a new home but the failure of the leading tech lender will have lasting impacts on the VC industry.

Recommended Reads

Despite steps to support small Black-owned businesses, there remains a lack of support or funding for those trying to break through the UK's glass ceiling. [Financial Times]

Strategy Capital, a tech-focused hedge fund, is a reminder that one year of performance doesn't make or break a manager. [Institutional Investor]

Most carbon emissions caused by businesses are hidden from sight. US and California regulators are pushing to require companies to fully disclose them. [Wired]

Since yesterday, the PitchBook Platform added:

1

VC valuations

164

People

88

Companies

See what our data software can do

The Daily Benchmark:
2014 Vintage Global Secondaries Funds

Median IRR

13.74%

Top Quartile IRR

17.35%

1.52x

Median TVPI

Select top performers

NewQuest Asia Fund II

Glouston Private Equity Opportunities V

Lexington Capital Partners VIII

*IRR: net of fees

16 Funds in Benchmark »

Check out the latest version of PitchBook Benchmarks

VC Deals

B2B data integration specialist Adeptia has raised $65 million in a round led by PSG.

Savings and investment marketplace Raisin has secured a €60 million Series E from investors including M&G Investments and Goldman Sachs.

GT Medical Technologies, which makes medical devices for patients with brain tumors, has raised $45 million in a Series C led by Gilde Healthcare Partners.

Spatial biology startup Lunaphore has raised 40 million Swiss francs (about $44 million) in a round led by EGS Beteiligungen.

Axios HQ, a software business spun off from digital publisher Axios, has raised $20 million led by Glade Brook Capital Partners and Greycroft Partners, The Wall Street Journal reported.

Smart basketball hoop startup Huupe has raised $11 million led by Protagonist VC, Marvan Ventures, TRI Investments and Kawn VC, TechCrunch reported.

Tel Aviv's Daily.dev, which offers a professional network for software developers, has secured an $11 million seed investment from investors including Aleph, Jibe Ventures and Secret Chord Ventures.

Climate-tech startup Lun has raised €10.3 million from investors including Norrsken VC, Partech and Lowercarbon Capital.

Grocery delivery company Good Eggs has taken a 94% hit to its valuation, The Information reported, closing a $7 million down round led by Glade Brook Capital Partners. The company previously raised $60 million in late 2020.

PE Deals

Bain Capital has proposed a take-private buyout of Estia Health for A$775 million (about $517 million). Estia runs residential care facilities for the elderly in Australia.

LDC has invested in Idwal Marine Services, a UK-based shipping sector inspection services provider. The company has a presence in the UK, Greece, China and Japan.

Alpine Investors-backed lifestyle and emotional wellness platform Ingenio has acquired Kasamba, a website that provides customers with online psychic readings, from LivePerson.

Exit & IPOs

Apollo Global Management-backed German bank Oldenburgische Landesbank has halted its plans for an IPO, Bloomberg reported. The lender had been considering a float in May.

Mental health services company SonderMind has acquired the assets of Mindstrong, a telehealth startup for mental well-being previously backed by VCs including General Catalyst and Arch Venture Partners.

HIG Capital has sold Brazilian specialty chemical manufacturer Elekeiroz to Oswaldo Cruz Química, another Latin American chemical company.

Fundraising

In April, buyout firm KPS Capital Partners plans to begin raising $8 billion to $10 billion for its latest main fund, KPS Special Situations Fund VI, The Wall Street Journal reported.

Corporate M&A

Brazilian lender BTG Pactual has agreed to buy Luxembourg's FIS Privatbank. The bank's clients include high net worth individuals, family offices and institutional investors.

Chart of the Day

Source: PitchBook's 2022 Annual Global Private Debt Report

About PitchBook | Terms of use | Advertise with us | Contact

This email was sent to you via the PitchBook Platform.

Do you want to change your email address, get a different edition or unsubscribe? Manage your subscription here.

Unexpected upside of SVB failure

Sunday, March 26, 2023

Plus: Deep dive into generative AI, real estate's markdown problem & more Read online | Don't want to receive these emails? Manage your subscription. Log in The Weekend Pitch March 26, 2023

Forecasting VC exits

Saturday, March 25, 2023

Also: Generative AI has taken the tech scene by storm; M&A and corporate venture in a downturn; new fintech, mobility tech, and e-commerce research... Read online | Don't want to receive these

Forecasting VC exits

Saturday, March 25, 2023

Also: Generative AI has taken the tech scene by storm; M&A and corporate venture in a downturn; new fintech, mobility tech, and e-commerce research... Read online | Don't want to receive these

Ecommerce mellows from pandemic highs

Friday, March 24, 2023

Ex-SVB bankers land at Stifel; the 10 most active VC cybersecurity investors; PE ditches debt to cinch software take-privates Read online | Don't want to receive these emails? Manage your

Real estate funds feel public market woes

Thursday, March 23, 2023

An opportunity in self-driving construction equipment; ripples from the banking crisis rock PE; the 10 most active VCs in Europe's early-stage deals Read online | Don't want to receive these

The Ultimate Personal Branding Playbook Drops January 17th

Friday, January 10, 2025

Let's face it—getting noticed in today's market isn't what it used to be... ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌

How This Weird Site Makes $88/month!

Friday, January 10, 2025

Each week on the Niche Pursuits podcast, we share a couple of weird niche sites. And every once in a while, these sites are making a SIGNIFICANT amount of money. I recently found a WEIRD website making

♦️ How saying no to (some) customers increases your chances of winning big

Friday, January 10, 2025

How Autodesk became a $60 billion company by staying specific... ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏

Tripling your organic LinkedIn content visibility

Friday, January 10, 2025

Today's Guide to the Marketing Jungle from Social Media Examiner... Presented by social-media-marketing-world-logo It's National Thank Your Customers Week, so thank you Reader! We're

The Single Most Important Thing For Bitcoin Right Now

Friday, January 10, 2025

Listen now (4 mins) | To investors, ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏ ͏

Influence Weekly #371 - How The Military Recruitment Crisis Pushed The Pentagon To Fund MrBeast, TV Stars In A Bid To Woo Gen Z

Friday, January 10, 2025

PayPal Sued Over Browser Extension Allegedly Diverting Creator's Commission ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌

PitchBook News - Retail fintech fights inflation's bite

Older messages

Unexpected upside of SVB failure

Forecasting VC exits

Forecasting VC exits

Ecommerce mellows from pandemic highs

Real estate funds feel public market woes

You Might Also Like

The Ultimate Personal Branding Playbook Drops January 17th

How This Weird Site Makes $88/month!

♦️ How saying no to (some) customers increases your chances of winning big

Tripling your organic LinkedIn content visibility

The Single Most Important Thing For Bitcoin Right Now

Influence Weekly #371 - How The Military Recruitment Crisis Pushed The Pentagon To Fund MrBeast, TV Stars In A Bid To Woo Gen Z

Weekly Dose of Optimism #126

AI gets a third of VC cash

"Notes" of An Elder ― 1.10.25

Makin’ Lemonade 🍋