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The Daily Pitch: VC

October 23, 2020

Like our newsletter? The data comes from the PitchBook Platform — our data software for VC, PE and M&A

Today's Top Stories

Rise of remote working entices startups to flee big tech hubs

(Julia Midkiff/PitchBook)

Since pandemic lockdown measures took effect seven months ago, some early-stage startup founders have physically moved parts of their companies away from expensive startup hubs like San Francisco and New York.

How will those new geographies work in a post-pandemic world? We spoke to several founders and investors to find out:

Recommended Reads

On the fittingly private life and extraordinary times of Signal founder Moxie Marlinspike, an unlikely entrepreneur trying to take encryption mainstream. [The New Yorker]

The molten core of the Earth is roughly as hot as the surface of the sun. The prospect of harnessing that heat at scale as a source of renewable energy is looking more likely than ever before. [Vox]

Who is Palantir CEO Alex Karp, and how do you define his controversial data colossus? It depends on who you ask. [The New York Times]

Since yesterday, the PitchBook Platform added:

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Quick Takes


	The Daily Benchmark
	2007 Vintage Global Buyout Funds
	VC Deals
	Arctic Wolf trots off with $200M Series E
	Applied Intuition rakes in $125M
	AavantiBio goes live with $107M Series A
	Bind Benefits lands $105M
	Stripe leads $10M round in Carta competitor, Pulley
	Portfolio Companies
	Eat Just seeks new funds at $2B valuation
	BitGo draws interest from PayPal
	Exits & IPOs
	Alibaba to buy more than a fifth of Ant's IPO shares
	Investors
	NEA explores sale of minority stake in firm

The Daily Benchmark

2007 Vintage Global Buyout Funds

Median IRR

9.03%

Top Quartile IRR Hurdle Rate

15.46%

1.47x

Median TVPI

Select top performers

Hudson Ferry Capital Fund I

Marlin Equity Partners II

Excellere Capital Fund

*IRR: net of fees

122 Funds in Benchmark »

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VC Deals

Arctic Wolf trots off with $200M Series E

Arctic Wolf, a provider of concierge cybersecurity services that help organizations monitor, detect and respond to threats, has raised $200 million in a round led by Viking Global. The funding values the company at $1.3 billion. In March, Arctic Wolf raised $60 million at a $285 million valuation, according to PitchBook data. As part of the new round, the startup is moving its global headquarters from Sunnyvale, Calif. to Eden Prairie, Minn.

Additional Investor:

DTCP

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Applied Intuition rakes in $125M

Applied Intuition has closed a $125 million Series C from existing investors Lux Capital, General Catalyst and Andreessen Horowitz. The Bay Area startup, which develops software for autonomous vehicles, was valued at $1.25 billion in the deal, according to Forbes. Applied Intuition plans to use the funds to grow its technology beyond the auto industry and to expand to new cities.

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AavantiBio goes live with $107M Series A

Biotech startup AavantiBio has launched with a $107 million Series A. Perceptive Advisors, Bain Capital, RA Capital participated in the funding, which also included a $15 million equity investment from Sarepta Therapeutics. AavantiBio is a developer of gene transfer therapy and gene editing technologies designed to treat patients with fatal diseases. Alexander Cumbo, former COO of Sarepta, was also named the Cambridge, Mass.-based startup's new CEO and president.

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Bind Benefits lands $105M

Bind Benefits, a Minneapolis-based health insurance startup, has collected $105 million in a Series B. Best Buy and Medtronic are among the companies that use the startup's health insurance services for their employees. Bind's enrollment grew eight-fold from 2019 to 2020.

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Stripe leads $10M round in Carta competitor, Pulley

Stripe has led a $10 million Series A for Pulley, a startup that helps newer companies manage their equity. Caffeinated Capital, General Catalyst and 8VC also participated in the round. Startups such as ClubHouse and Fast use the Mountain View, Calif.-based company's automation tools to manage their cap tables.

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Portfolio Companies

Eat Just seeks new funds at $2B valuation

Eat Just, a maker of plant-based egg alternatives, is looking to raise at least $200 million at a $2 billion valuation, according to Bloomberg. The round could reportedly be the San Francisco-based startup's final capital raise before it files for an IPO. Eat Just, which was formerly known as Hampton Creek, is backed by investors including Khosla Ventures, Founders Fund and Bill Gates' VC firm Gates Ventures; it was valued at $1.25 billion in 2017, according to PitchBook data.

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BitGo draws interest from PayPal

PayPal has held discussions with cryptocurrency company BitGo about a potential acquisition, according to Bloomberg. Palo Alto-based BitGo allows investors to securely store bitcoin and other digital assets; it also offers other crypto-related tools for investors and service providers. The company claimed a $170 million valuation with a $58.5 million round in 2018, according to PitchBook data. Its backers include Goldman Sachs, Founders Fund and Valor Equity Partners.

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Exits & IPOs

Alibaba to buy more than a fifth of Ant's IPO shares

Alibaba plans to acquire 730 million shares in the Shanghai portion of Ant Group's upcoming IPO, representing about 22% of the offering. The Chinese ecommerce giant will also receive about 1.16 billion shares from Ant Group's concurrent listing in Hong Kong as part of a distribution to existing shareholders. Ant Group, which originally spun out of Alibaba as Alipay, is controlled by Alibaba co-founder Jack Ma.

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Investors

NEA explores sale of minority stake in firm

NEA has held talks with multiple investors exploring the sale of a minority stake in the stalwart Silicon Valley firm, Bloomberg reported. The concept could be similar to a deal done in 2018 when Goldman Sachs' Petershill unit invested in General Catalyst.

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