The two most highly valued private tech companies (outside of China) are Uber and Airbnb. Both also happen to be marketplace businesses, and their success has helped encourage a rush of VC investment in similar business models over the past several years. But despite all this investment, public comps for marketplaces remain far thinner than those for SaaS. Read More
Capillary Technologies, an India-based startup that helps e-commerce businesses manage their marketing and customer engagement, has pulled in $20 million in fresh funding from existing investors Warburg Pincus and Sequoia. The company said it plans to use the capital to develop its products and R&D, including a new focus on the fast-moving consumer goods (FMCG) space where it works… Read More
“How fast do I need to be growing to be interesting to a venture investor?” This is a question we get asked all the time by CEOs, and we realize “it depends” is not the most actionable answer to give. Instead, we have come up with a simple model that allows us to give a clear numerical answer to this question. Read More
Valuation concerns are top of mind for many investors. For those in tech investing, this concern is perhaps most acute, given the generally high multiples assigned to the sector. There are good articles addressing how revenue multiples have moved over time or why this methodology even came to be, but I’m still curious as to how a revenue multiples ties to some fundamental unit of… Read More
SAP, the German enterprise software giant, announced it acquired CallidusCloud last night for $2.4 billion or $36 per share. Callidus provides configure price quote (CPQ) and sales performance management tools delivered as a cloud service.
The share price is a nice bump for shareholders, representing a 21 percent premium over over the 30-day volume weighted average share price, according to… Read More
Snowflake, the cloud-based data warehouse service, announced an enormous investment round today, pulling in a whopping $263 million on a unicorn valuation of $1.5 billion. The round was led by a trio of big-name Silicon Valley VC firms including existing investors Iconiq Capital and Altimeter Capital and new investor Sequoia Capital. Today’s announcement comes on top of the $100… Read More
Oracle has always had a swagger that reflects the public persona of its bombastic leader, Larry Ellison, but over the last several years, as the company has transitioned to the cloud, it has required a transformation to one that is softer and more customer-centric. Mind you, this was a company that was the poster child for vendor lock-in the 90s and early 2000s. They knew you were looking for… Read More