Q3 Venture Financing Report Shows Lower Deal Volume and Dollars Raised

Foundry Group Co-Founder Brad Feld Shares Market Insights in Exclusive Q&A
Palo Alto – November 1, 2016 – Cooley’s Q3 2016 Venture Financing Report finds slightly lower deal volumes and aggregate dollars raised compared to prior quarters.
Across industries, the data points to a decrease in median pre-money valuations across all deal stages with the exception of Series D+ transactions. A small number of large late-stage deals in Q3 drove the average median pre-money valuation for Series D+ deals to $718 million, a level not seen for more than seven years. “The existential freakout that occurred in January and February seems like the distant past, with the lingering hangover being a clearer focus on valuation and overall funding needs from new investors,” commented Brad Feld, co-founder of Cooley client The Foundry Group, who participated in an exclusive Q&A with Cooley to discuss the report and share his views on the state of the market. The report is based on disclosed transactions during the third calendar quarter of 2016, in which Cooley served as counsel to either the company or the investor. Visit Cooley GO to view the interactive data visualization and to read the full Q&A with Brad Feld. TechCrunch covered the report in an article headlined "After Months of Concern About Bursting Bubbles, VC Investment Stabilizes." About Cooley LLP Clients partner with Cooley on transformative deals, complex IP and regulatory matters, and high-stakes litigation, where innovation meets the law. Cooley has 900 lawyers across 12 offices in the United States, China and Europe.
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