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Ongoing market challenges — including the lack of exits, high-interest rates (higher cost of capital), and continued geopolitical uncertainties — kept VC investors cautious during Q1’24. In addition to scrutinizing potential deals more heavily, VC investors also showed less willingness to provide bridge funding to their existing portfolio companies, driving startups to increase their focus on capital efficiencies, cost cutting and achieving profitability. Healthcare and biotech were somewhat anomalies versus the broader market but still off its highs. Hang in there. #venturecapital

Venture Capital is evolving, with VCs redefining opportunity funds. 🧬🧬 Traditionally these funds were used to double down on successful portfolio companies nearing profitability or an IPO. So, what’s driving this shift? According to a new article by PitchBook citing sources from well established funds: 🔹 Overvaluations: many leading startups are seen as overvalued and overcapitalized. 🔹 IPO Slowdown: the lack of IPOs is steering funds towards secondary stakes. Despite these challenges, opportunity funds are not obsolete. VC firms have raised $3.4 billion for opportunity-style funds this year, with some, like Lightspeed, focusing on secondary equity stakes and LP fund positions. As the VC landscape shifts, firms are adapting their strategies to align with current market conditions, focusing on sectors that require substantial investment, like AI. It's an exciting time for innovation and strategic investment! 🚀 . . . . #VentureCapital #InvestmentStrategy #AI #TechInnovation

IPOs on the Horizon? A Glimmer of Hope in Q2'24 📈” Despite a sluggish IPO market, successful listings in the US and the UK signal a potential turn as we head into Q3'24, per KPMG's Venture Pulse. With an election year looming, can we anticipate an IPO surge or is caution the word? Discussing strategic moves for startups eyeing public markets. Refer to KPMG’s latest report “Venture Pulse Q2 2024” to know the global and regional trends evolving in the global VC landscape. #KPMGElevate #KPMGValueCreation #KPMGDeals #VentureCapital #Innovation

Q2 2024 PitchBook-NVCA Venture Monitor Highlights Latest Q2 2024 PitchBook-NVCA Venture Monitor report is out, showing some key trends in the venture capital market: 🔸 Deal Activity: Steady increase in deal counts, but raising capital remains tough. Valuations are rising, partly due to companies returning to market after 2021/early 2022. 🔸 AI Investment: AI remains hot, with significant funding rounds like CoreWeave and xAI raising $15 billion together. 🔸 Exits: IPOs and M&A are sluggish, pressuring LP distributions and maintaining a cautious investment climate. Download the full report for more details here (https://lnkd.in/g-h93kWq) . Stay tuned as we monitor the market's reaction to potential interest rate cuts later this year. Subscribe to ‘Siliconnector’ Telegram channel for insights and news from Tech world and Silicon Valley: https://t.me/siliconnector

CrossWork Announces Portfolio Company AuditBoard Has Agreed To Be Acquired for $3 Billion. CrossWork Midas, a late-stage venture capital fund specializing in AI and enterprise software investments, announced that portfolio company AuditBoard has agreed to be acquired by Hg, a European private equity firm, for over $3 billion. Notably, five of CrossWork's portfolio companies are listed on PitchBook's top 10 AI companies most likely to go public in 2024. CrossWork Midas is a specialist investor in the AI and enterprise software sectors. The fund focuses on late-stage, pre-IPO companies, leveraging its proprietary AI-driven investment approach and deep sector expertise to identify high-potential opportunities. The fund's late-stage artificial intelligence investments include large language models (LLMs), semiconductors, databases, AI development/management platforms, AI software companies, and enterprise software companies that leverage AI. AuditBoard Investment: "AuditBoard highlights an important aspect of our investment thesis," said Steven Ogunro, Partner at CrossWork, who led the AuditBoard investment. "Our ability to identify market leaders like AuditBoard, that can benefit from powerful developments in AI, combined with our extensive network of relationships through some of the world’s best advisory board members, has been key to our success" We invested in AuditBoard for several key reasons: - It’s exceptional management team. - Strong growth year-over-year combined with a market leadership position in a substantial market. - A “must have” product solution utilized by 50% of Fortune 500 companies, helping customers satisfy key regulatory requirements. - Strong product loyalty - reflected in strong recurring revenues. - It’s systematic use of AI in product and business execution - Significant opportunities for further growth. "As AI continues to transform industries, CrossWork Midas is uniquely positioned to capitalize on the next wave of enterprise software innovation.” said CrossWork partner, Steven Ogunro. Important Disclosures - Nothing in this preliminary information should be considered an offer for the purchase or sale of any securities in any jurisdiction whatsoever. Investments in private securities are risky and illiquid with the potential for entire capital loss. Nothing herein should be considered financial advice of any kind. While care is taken, no warranty or guarantee is made with respect to the information herein which is subject to errors. Consult your financial advisors in all circumstances when taking any action with respect to an information or data provided herein and review risks available at

As 2024 wraps up, VCs are looking ahead to 2025. 🗓 While funding and exits have slowed, AI is still driving investments, with new opportunities on the horizon. Will M&A activity pick up? Will IPOs finally start flowing? 🤔 We explore these questions and more in the first part of our 2025 Venture Preview: https://lnkd.in/g695j9RC

🚀 Exciting times in the world of venture capital! The recent success of a VC firm highlights the growing divergence between big names and smaller groups amidst a slowdown in fundraising across the industry. 🔮 Prediction: As market conditions continue to shift, we can expect to see more consolidation among smaller firms as they seek to compete with the larger players. This trend may also result in increased collaboration and strategic partnerships to navigate the changing landscape. 💡 Insights: - The key to staying competitive in the VC space lies in agility and adaptability. Smaller firms with a focus on niche markets may find opportunities for growth and differentiation. - Innovation will be a crucial driver of success moving forward, with firms investing in emerging technologies and disruptive business models to stay ahead of the curve. 🌟 Commentary: - The VC industry is at a pivotal moment where dynamic decision-making and bold strategies will determine who comes out on top. It's a challenging but thrilling time for both investors and entrepreneurs. - By closely monitoring market trends and embracing evolving investment models, firms can position themselves for long-term success and make a lasting impact on the innovation ecosystem. Let's embrace the changing dynamics in the venture capital landscape and seize the opportunities that lie ahead! 💪💼 #VentureCapital #Innovation #FutureOfInvesting

At the end of last year, M13 Partner Win Chevapravatdumrong predicted that low M&A activity would pick up in 2024. "This feels like the end of the rate hiking cycle, leading to less uncertainty in the debt market. PE investors and larger companies have dry powder waiting to be deployed, and smaller startups that have struggled to fundraise the past few years may see M&A as their only alternative," he shared in our end-of-year blog (you can check it out here: https://lnkd.in/eeqgcv6c). Looks like he was right! 👏 Last month, EY published a story about the recovery of M&A, sharing that "Q1 2024 saw a 36% increase in global deal value. Our M&A outlook shows CEOs are looking to make acquisitions, and there is a rise in those looking to divest assets." You can read their full report here: https://lnkd.in/eu_htuqh #mergersandacquisitions

Investor Surge: Q2 2024 saw a significant increase in pre-seed investor activity, and competition is heating up. As we move into the second half of 2024, the venture capital landscape continues to evolve, shaped by new trends, diverse founders, and global shifts. Curious about what’s ahead? Check out our latest newsletter, where we dive deep into the H2 2024 Venture Capital recap and share insights on what investors should watch. 👉 Read more here https://lnkd.in/giecrWne #VentureCapital #InvestmentStrategy #DiverseFounders #H2Recap #PropTech #VC