Cooley Reports on 2012 Venture Financing Trends

Palo Alto, Calif. – February 8, 2013 – Cooley LLP today released its most recent report on venture capital financing trends, analyzing 382 US venture financing transactions nationwide in 2012, in which Cooley served as counsel to either the issuing company or the investors. Among deals analyzed, aggregate dollars raised reached more than $4.9 billion.

Highlights of the report include:

  • Aggregate dollars raised reached $4.9 billion, a decline from over $6 billion of invested capital seen in 2011
  • The first half of 2012 was on pace to exceed all years since 2007, but the second half of the year saw volumes decline markedly
  • Series B pre-money valuations rose to $30 million, a level not seen since 2007
  • There was a decrease in the number and percentage of 2012 deals with median pre-money valuations greater than $100 million
  • Up rounds accounted for 75% of all deals, up from 69% in 2011
  • There was a decrease in the number of recapitalization transactions and in the number of tranched deals, signaling continued investor confidence

A complete version of the report can be found here.

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