Where have all the megarounds gone?

Tuesday, 12 September 2023

Where have all the megarounds gone?

September 12, 2023

Hi, Agen. Megadeals. Supergiant rounds. Call them what you will. While it can seem like we’re again hearing about more of those $100 million-plus rounds, in reality megadeals have dwindled from their peak. Apparently, investors saw a lot more reasons to throw wads of $100 million or more around in 2021.

💸 Where have all the megarounds gone?

So far this year, just 97 U.S.-based companies have landed a round of $100 million or more at Series A through Series D, per Crunchbase data. Over the prior two years, meanwhile, more than 800 such rounds closed. What does that tell us about the venture market overall?

Related Crunchbase Pro list: Supergiant Rounds At Series A Through Series D

🦶 3 strategic steps toward SaaS profitability

It’s 2023, and startup investors increasingly want profitability over growth — or better yet, both. So how do you get there? Startup adviser Itay Sagie shares three strategies for SaaS companies to consider as they try to perfect that magic blend.

▶️ At least 4 tech companies now have 2023 IPOs lined up

The same week that chip designer Arm Holdings is slated to make its much anticipated NYSE debut, another venture-backed startup filed new plans for an IPO. But while all eyes will be on Arm this week to see how it performs on the public markets, Instacart is already tempering expectations for new tech offerings. The grocery delivery app on Monday set a target IPO valuation of $9.3 billion — a quarter of its valuation during its last funding round.

Related Crunchbase Pro list: Startup IPOs of 2023

🦄 Nine new unicorns join the herd as two prepare to exit

Nine companies joined The Crunchbase Unicorn Board last month, with fintech leading the way. More significantly for the startup world, two highly valued unicorns are finally getting ready to leave the board this month in a test for the IPO markets.

🏅 Top 10 deals: Big deals are back, baby

Venture funding overall may be scarce, but big rounds are apparently in again. Last week, eight U.S. startups each raised $100 million or more — and one reportedly raised $1 billion.

✂️ Even Jeff Bezos’ rocketship company is cutting staff

Seventeen companies joined our Tech Layoffs Tracker last week, collectively sacking more than 600 employees among them. Along with Grindr, they included a cybersecurity company, tech news publication, and Jeff Bezos’ rocketship company.