Private Market Update: March 2021 - Forge Global
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Private Market Update: March 2021
CONFIDENTIAL
Private Market Overview
February sees more tech-companies ready to make their splash into the public markets Last 3 Month Forge Platform Activity Against Public Equity Market
• Even though public markets took a slight turn in the last month, the IPO market remains strong as we User Indications of Interest(1) vs. S&P 500, Week Ending
Indexed: Nov 21st = 100
saw many companies announce a targeted 2021 IPO
300 4,000
• Throughout the month of February, Coupang, DigitalOcean, Marqeta, and Oscar Health, were all
Indications of Interest
Indexed Number of
S&P 500 Level
added to the backlog of companies ready to exit through an IPO 200 3,800
100 3,600
Investors renew their interest in legacy names, while new issuer interest plateaus
• While the number of new issuers grew marginally, the percentage of sell interest jumped off the back 0 3,400
of the changing market conditions and premium valuations of companies. The divergence between the 21-Nov 5-Dec 19-Dec 2-Jan 16-Jan 30-Jan 13-Feb 27-Feb
two sides of the market modestly narrowed in the past month
S&P 500* (RHS) Indication of Sell Interest Indication of Buy Interest
• The number of issuers with sell interest jumped ~40% from January to February
• Investors sought out legacy unicorn names, UiPath and Databricks, after both companies raised Monthly Summary December January February
massive funding rounds, registering these two as top companies of interest on the platform Buy Interest as % of Total Platform Interest 93% 95% 91%
• Databricks closed an impressive $1B round at a reported ~$28B valuation and UiPath raised a $750m Sell Interest as % of Total Platform Interest 7% 5% 9%
Number of Unique Issuers 411 456 458
round for an estimated ~$35B valuation, both over 3x their previous valuations
Year-over-Year VC Private Funding
Summary ($M)
Investors continue to write large checks as primary VC funding reaches new heights Year- over-Year VC Private Funding ($M) (2) 2019 YTD 19,839
2020 YTD 17,075
$20,000
• Following the tailwinds of January, February recorded an impressive ~$19B into 274 companies, 2021 YTD 35,142
surpassing January as the most active month in prior years $16,000
• While Automotive was the most active vertical in January with ~$2.75B raised, Financial Software took $12,000
over this month, accounting for nearly a third of the month’s funding at ~$4.4B (up from January’s
$8,000
~$1B)
$4,000
SPAC’s take flight in February $0
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
• According to the Refinitiv Deals Intelligence report, 50 acquisitions by Special Purpose Acquisition
2018 2019 2020 2021
Companies were announced globally during February 2021, the highest monthly tally of all time and
combined value of these deals was $108.6 billion
Annual Summary 2018 2019 2020 2021
Sources: Forge Global, Yahoo Finance, Refinitiv, TechCrunch, PitchBook (Data has not been reviewed by PitchBook analysts) – As of 2/28/2021 Total Deal Volume ($M) 108,229 108,075 113,718 35,142
*Note: Public market data as of 2/26/2021; Platform activity as of 2/28/2021 # of Deals 2,309 2,439 2,372 505
(1) Indication of Interest defined as a user manually placing a non-binding bid or ask on the Forge platform. Indexed values are based on the unique number of
indications of interest, not the total dollar volume Average Deal Size ($M) 47 44 48 70
(2) Includes U.S. issuer VC-backed deals with an investment amount of $10M or greater
Copyright © 2020 Forge Global, Inc. All rights reserved. For more info contact: info@forgeglobal.com (415) 881-1612 415 Mission St, San Francisco, CA 94105 – 55th Floor 2CONFIDENTIAL
Tech IPO Landscape (1)
Performance of Largest VC-Backed Tech IPOs in Since 2020
Historical Returns Public Market Performance Latest Private Market Activity
Return If
2019 2020 Last 3 Months Last Month Current Last 3 Last Funding
Company IPO Date Since IPO Series Invested Pre-
Stock Price Months Month Round(2)
IPO (3)
NASDAQ 34.6% 41.8% 6.8% -1.6%
Announced / In Progress (Filed: 25-Feb-21) May-20 C -
S&P 500 28.7% 15.3% 4.1% 1.0%
Announced / In Progress (Confidentially Filed: 16-Feb-21) May-19 E -
Renaissance IPO ETF (5) 33.6% 103.5% 7.1% -3.6%
Announced / In Progress (Confidentially Filed: 12-Feb-21) May-14 D -
Market information as of 2/26/21
Announced / In Progress (Filed: 05-Feb-21) Mar-18 G -
Last 24 Months Indexed Month-Over-Month Performance Announced / In Progress (Confidentially Filed: 28-Jan-21) Apr-14 B -
Index: Feb 28th 2019 = 100
240 Announced / In Progress (Confidentially Filed: 14-Jan-21) Nov-19 G -
Announced / In Progress (Confidentially Filed: 17-Dec-20) Oct-18 E -
220
Announced / In Progress (Confidentially Filed: 17-Dec-20) Jul-20 E -
200 Announced / In Progress (Filed: 19-Nov-20) Feb-20 G -
13-Jan-21 $93.06 89.9% - -13.5% Apr-19 F 606.1%
180
16-Dec-20 $19.61 -18.3% - -37.1% May-15 E N/A(6)
160 10-Dec-20 $206.35 203.5% - 14.4% Sep-17 F 293.0%
9-Dec-20 $112.46 167.8% - -18.4% Sep-19 H 2131.3%
140
9-Dec-20 $169.49 66.2% - -11.3% Jun-20 H 269.2%
120 30-Sep-20 $34.63 28.3% 27.7% -2.3% Nov-18 E 322.8%
30-Sep-20 $23.90 139.0% -6.9% -29.6% Jan-16 K 110.0%
100
18-Sep-20 $107.63 107.0% -26.9% -29.6% May-19 E 389.2%
80 17-Sep-20 $30.38 38.1% 21.1% -9.7% May-19 G 175.7%
Feb-19 Jun-19 Oct-19 Feb-20 Jun-20 Oct-20 Feb-21
16-Sep-20 $259.54 116.3% -15.1% -8.0% Feb-20 G 569.4%
NASDAQ S&P 500 Renaissance IPO ETF 2-Jul-20 $125.79 333.8% 97.6% -15.7% Apr-19 D 198.0%
9-Jun-20 $44.25 101.1% 25.1% 9.8% Dec-18 G 146.5%
Sources: PitchBook (Data has not been reviewed by PitchBook analysts), Yahoo Finance 31-Jan-20 $47.51 239.4% 37.9% -11.8% Aug-18 I 282.2%
(1) Includes all IPOs issued in USD by formerly VC-backed TMT, SaaS, E-Commerce, or FoodTech companies with a pre-money valuation of $1B or greater
(2) Latest funding round based on latest investment round leading up to the Initial Public Offering when price per share figures are publicly disclosed Market information as of 2/26/21 Averages 119.2% 20.1% -12.5% 426.9%
(3) Return based on current market price and the preferred share price of the latest investment round leading up to the IPO when the figure is publicly disclosed
(4) Active on Forge platform defined as one completed trade or over $1 million of buy or sell side interest prior to priced public filing
(5) “The Renaissance IPO ETF reflects approximately the top 80% of newly public companies based on full market capitalization, is weighted by free float capitalization and
imposes a 10% cap on large constituents” (renaissancecapital.com) Active on Forge platform (4)
(6) Wish historically has not publicly disclosed the preferred share prices of their investment rounds
Copyright © 2020 Forge Global, Inc. All rights reserved. For more info contact: info@forgeglobal.com (415) 881-1612 415 Mission St, San Francisco, CA 94105 – 55th Floor
3CONFIDENTIAL
Fundraising Activity Summary
LTM Funding by Stage ($M)
$21,000 $80
$18,000
$60
$15,000
$12,000
$40
$9,000
$6,000
$20
$3,000
$0 $0
Mar '20 Apr '20 May '20 Jun '20 Jul '20 Aug '20 Sep '20 Oct '20 Nov '20 Dec '20 Jan '21 Feb '21
Seed - Series C Series D - F Series G + Other Average Deal Size (RHS)
Largest 10 Primary Financings in Last 60 Days By Investment Amount (2)
Company
Business/Productivity Network Management
Primary Industry Financial Software Automotive Database Software Aerospace and Defense Holding Companies Energy Storage Drug Discovery Platform Software
Software Software
Deal Date 01-Feb-21 19-Jan-21 01-Feb-21 16-Feb-21 01-Feb-21 09-Feb-21 26-Jan-21 07-Jan-21 11-Jan-21 06-Jan-21
Series - F G - F - F D B H
Investment Amount ($M) 3,400 2,650 1,000 850 750 750 590 525 525 520
Post-Money Valuation ($M) - 27,600 28,000 74,000 35,000 - 3,300 1,000 - 29,500
Lead Investor(s) Ribbit Capital T. Rowe Price Franklin Templeton Sequoia Capital Alkeon, Coatue - Coatue Altimeter, Sutter Hill - Altimeter, Dragoneer
Source: PitchBook (Data has not been reviewed by PitchBook analysts) – As of 2/28/2021 Active on Forge platform (1)
Note: includes U.S. issuer VC-backed deals with an investment amount of $10M or greater
(1) Active on Forge platform defined as one completed trade or over $1 million of buy or sell side interest
(2) Source: PitchBook and other publicly available news outlets
Copyright © 2020 Forge Global, Inc. All rights reserved. For more info contact: info@forgeglobal.com (415) 881-1612 415 Mission St, San Francisco, CA 94105 – 55th Floor 4CONFIDENTIAL
Growing Unicorn Universe
Companies That Have Surpassed a $1B Post-Money Valuation in the Last 30-Days
Series D - $1.7B Series D - $1.0B Series E - $2.3B Series E - $1.4B Series D - $1.3B Series D - $1.0B
25-Feb-21 25-Feb-21 22-Feb-21 22-Feb-21 19-Feb-21 18-Feb-21
Series D - $1.2B Series E - $1.0B Series D - $1.2B Series B - $1.0B Later Stage VC - $1.1B Series G - $1.2B
17-Feb-21 17-Feb-21 11-Feb-21 10-Feb-21 05-Feb-21 03-Feb-21
With a Growing Unicorn Universe, Exit Opportunities Remain Limited
Active Unicorns vs. Exits (1)
100 95 $1,000,000
Aggregate Unicorn Valuation (RHS) Exit Value Per Year (RHS) New Unicorns Per Year Unicorn Exits Per Year
78
80 $800,000
63
60 $600,000
46
41
37
40 $400,000
$30
$26
21 $20
17
20 $14 $200,000
9 $11
8 $7 $7 $7
4 $5 $5
$1
0 $0
2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020*
Source: PitchBook (Data has not been reviewed by PitchBook analysts) – As of 2/28/2021
Note: includes U.S. issuer VC-backed deals with an investment amount of $10M of greater
(1) From PitchBook’s 2019 Unicorn Report - *Data as of 12/31/2020
Copyright © 2020 Forge Global, Inc. All rights reserved. For more info contact: info@forgeglobal.com (415) 881-1612 415 Mission St, San Francisco, CA 94105 – 55th Floor 6CONFIDENTIAL
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