Background -

We analyzed the terms of 175 venture financings closed in the third quarter of 2015 by companies headquartered in Silicon Valley.

Overview of Fenwick & West Results -

Valuation results continued to be strong in 3Q15, but a little less strong overall than in 2Q15.

- Up rounds exceeded down rounds 86% to 4%, with 10% flat. This was a small increase from 2Q15 when up rounds exceeded down rounds 83% to 8%, with 9% flat. The 82 point difference between up and down rounds was the largest since we began calculating up/down rounds in 1Q02.

- The Fenwick & West Venture Capital Barometer™ showed an average price increase in 3Q15 of 116%, an increase over the 107% recorded in 2Q15. However, the result was affected by one financing of a non-tech company that had a valuation increase of over 3000%. If this financing was excluded, the Barometer result for 3Q15 would have been 93%.