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Valuation Investment

Foley & Lardner LLP

A Rebound for Fintech Investment

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Venture Capital investment in retail fintech rebounded in Q2, according to a new report from PitchBook. Their Q2 2024 Retail Fintech Report shows deal value for this sector coming in at $4.5 billion for the quarter, an...more

Levenfeld Pearlstein, LLC

M&A Insights and Outlooks in the Packaging and Industrial Industries: A Conversation with Brett Kornblatt of Stout

To help businesses, investors, and deal professionals better understand the evolving M&A market, Robert Connolly – a partner in and leader of LP’s Corporate Practice Group – shares a series of conversations with M&A experts. ...more

Husch Blackwell LLP

Healthcare Founders Face New Exit Considerations

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Exiting a business, whether you are a serial entrepreneur looking to move on to the next project or a healthcare provider like a physician or therapist who has nurtured your practice for decades, can be difficult. After all,...more

Tonkon Torp LLP

Earn-Outs: Bridging the Valuation Gap

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Do we value our possessions more just because we own them? Sometimes. Does this association of value apply to businesses? Almost always. The Cost of Risk- Buyers and sellers of a business often find themselves with a...more

Wyrick Robbins Yates & Ponton LLP

SAFE Financing – a Deep Dive on the Evolution of the SAFE

As we’ve noted in a previous article, the Y Combinator-hosted SAFE (Simple Agreement for Future Equity) has become the investment contract of choice for startup companies that have already attracted investors. However, the...more

Wyrick Robbins Yates & Ponton LLP

SAFE Financing – Valuation Cap vs. Discount Variants

So you decided to use a SAFE (Simple Agreement for Future Equity) to raise money for your new startup – congratulations! And you’re off to a good start because you read our previous article, which summarized how to use the...more

Kramer Levin Naftalis & Frankel LLP

VOSTF Exposes Revised Draft of Procedures for NAIC Challenge of Ratings

At its June 18 meeting, the Valuation of Securities Task Force (VOSTF) of the National Association of Insurance Commissioners (NAIC) voted to expose a new draft of its controversial proposal, available here, to allow the...more

Farrell Fritz, P.C.

Navigating the Downside: The Rise of Down Rounds in 2024 VC Deals

Farrell Fritz, P.C. on

I had a chance to sift through Pitchbook’s U.S. VC Valuations Report for the first quarter of 2024.  The data point that really jumped out at me was the increase in down rounds.  The number of flat and down rounds as a...more

Kohrman Jackson & Krantz LLP

Unlocking Tax Savings: Family Limited Partnerships in Estate Planning

As Trump era estate tax cuts are likely coming to an end in 2025, wealthy business owners are increasingly utilizing Family Limited Partnerships (FLPs) to significantly save the family taxes when they are gone....more

Foley & Lardner LLP

A Look at the Market for Sports and Sports Tech in 2024

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While the M&A market overall was less active than many had hoped in 2023, and with 2024 off to a sluggish start, some areas still look stronger than others, including the sports market. The sports industry has become so...more

Proskauer Rose LLP

Question of the Week: What is your outlook for private capital in 2024?

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"Fund managers will continue to innovate and be creative in how they address challenges in the market. For example, fund and portfolio level restructurings will progress at a steady pace to address limitations on exit...more

Foley & Lardner LLP

Where Have All the Venture Capital Firms Gone?

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We all know funding for startups has been in short supply over the past year, but a recent PitchBook article points to a large drop in active venture capital investors in the US. They define active investors as those who have...more

Proskauer Rose LLP

A Guide to the DOL’s New Investment Advice Fiduciary Rule Proposal – What Investment Advisers and Managers Need to Know

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The new “retirement security rule” package, issued by the U.S. Department of Labor (the “DOL”) on October 31, 2023, is the latest chapter in an almost 15-year effort by the DOL to amend the five-part test in its 1975...more

Foley & Lardner LLP

Current Look at Digital Health

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There have been exciting advancements in the digital health space over the past few years that are truly changing lives, but the sector seems to be experiencing a reset as investment drops off. Below, we look at some current...more

Foley & Lardner LLP

HLTH 2023 Conference: Key Investing Takeaways

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A panel discussion moderated by Sofia Guerra of Bessemer Venture Partners aptly titled “The Great Leveling Out” provided some clear insights into how investors view the current state of play in digital health markets. Laura...more

Foley & Lardner LLP

Venture Capital Investment in Latin America

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Over the past few years, explosive growth in Latin American startups and sources of capital to fund them has piqued the interest of U.S. venture capital (“VC”) investors. Whereas Latin American technology has historically...more

Seward & Kissel LLP

Two Sides of the Same Coin: The Direct Relationship Between Valuation and Dilution in Pricing Venture and Growth Equity Deals

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Two concepts that venture capital and/or growth equity investors often grapple with are “valuation”, the agreed-to dollar value of the target company, and “dilution,” the nexus between an investor’s expected fully diluted...more

ArentFox Schiff

Self-Directed IRAs and the Prohibited Transaction Rules – Part 1

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Part 1: Permitted Investments and Compliance - The self-directed individual retirement account (IRA) is an increasingly popular option for an IRA account owner, especially those owners who have significant net worth and...more

Ankura

How Cybersecurity Protects Valuation: Considerations for Private Equity in the Deal Lifecycle

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Cybersecurity risk applies to businesses of all sizes and across all industries – it is a risk that cannot be ignored. In particular, cybersecurity risk can no longer be ignored in the deal lifecycle...more

Walkers

Appropriation and valuation of Jersey collateral – case law update

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Under the Security Interests (Jersey) Law 2012 (the “Security Law”), one method of security enforcement is for the secured party to appropriate the collateral. Under this method of security enforcement, the secured party...more

Ankura

Private Equity: Rethinking Value Creation in 2023

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FW: How would you define value creation, and what it means for the current market? Bohren: Value creation is the realization of the perceived intrinsic value of a deal with the actual execution of growth opportunities. This...more

Davies Ward Phillips & Vineberg LLP

Continuation Funds – Key Considerations

Continuation funds, commonly referred to as GP-led secondaries or restructurings, have long divided sponsor and investor opinion. While a leading European pension fund investor recently described them as part of a broader...more

McDermott Will & Emery

IRS Releases Memorandum on Deducting Cryptocurrency Losses

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On January 13, 2023, the Internal Revenue Service (IRS) released a Chief Counsel Advice Memorandum (CCA 202302011) concluding that taxpayers cannot claim a deduction for cryptocurrency losses that have, absent a sale or other...more

Proskauer Rose LLP

Question of the Week: In 100 words or less, what are your expectations for M&A in 2023?

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Based on what I have been seeing in the market, great opportunities exist for buyers and sellers in M&A despite indications of economic headwinds. Interest is still high for businesses with strong fundamentals, or those in...more

Mintz Edge

Extending for Success: The Rising Trend of Extension Rounds and the Importance of Due Diligence

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Venture capital investment in United States startups is projected to decline in 2022 by over one-third from 2021 levels. And while down rounds remain infrequent relative to historical trends, there has been a notable upward...more

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