EEC Perspectives - July 2008

July 18, 2008

Quarterly Review of Series B and Later Round Financings

written by David A. Broadwin, David R. Pierson, Robert S. Warren, Mark A. Haddad, Matthew S. Eckert, Amanda Vendig

Included in this Issue:

  • A Market Perspective: Foster Hinshaw on 'B' Rounds - Opportunity in 'Gloom and Doom'

    In 2002, during the valley of the tech bubble burst, one of the most respected VC’s in the tech community said to me, "It’s all about survival, survival, survival – I don’t know if we will ever recover". Notwithstanding, the resiliency of our tech community proved its intrinsic value to the economy and there were some nice IPO’s and exits from companies that were incubating during the bubble years (including FAST, EqualLogic and Netezza). Today the news is similar: (a) zero IPOs in Q2 2008; (b) the financial sector is in a major, albeit predictably cyclical, reset; and worse (c) another 1970’s style energy crisis is on us. (continues...)

  • Selected New England "Series B" and Later Round Transactions
  • Terms of New England Series B and Later Rounds The Activity Level Summary
  • The Activity Level Summary

For this issue of EEC Perspectives, we have asked Foster Hinshaw of Dataupia Corporation to comment on later rounds. Foster points out, among other things, that, the general downturn in the economy leads VCs to favor early stage investments. We hope you will find the data and analysis useful to you in your financing efforts. We would like to hear from you if you have transactions or comments that might be interesting to others. Do not hesitate to send one of us at the EEC an email at info@foleyhoag.com. Also, please visit our Web site at emergingenterprisecenter.com and plan on attending some of the many networking and educational events we hold at the EEC. We hope you will find the EEC a valuable resource as you start and grow your company.

Download the Foley Hoag EEC Perspectives July 2008 Issue (.pdf)