Pitchbook and the National Venture Capital Association (NVCA) collaborated on a recently published study on VC and PE activity in 2018. The highlights cover 18 key trends. Here are a couple illustrative findings: Private Equity involvement in VC deals has risen to a 10 year high $25M+ Deals Now Represent the Majority of Early Stage […]
Corporate Development
Why Product Managers Should Care About Goodwill
By John Mecke in Corporate Development, Private Equity, Product Management, Uncategorized 2 Comments
Accounting Goodwill has to be one of the more boring and esoteric financial topics. There are situations where product managers can benefit from having a basic working knowledge of it. Goodwill could impact their future bonuses and level of funding for their product lines. Goodwill Basics Investopedia defines goodwill as: “Goodwill is an intangible asset […]
PE Multiple Expansion 2000-2018
By John Mecke in Corporate Development, Private Equity No Comments
Private equity EV/Revenue multiples have increased 70% since 2000. They averaged 10.3x for the first three quarters of 2018 versus 6.6x in 2000. AS a result of these higher valuation expectations, the traditional private equity playbook of acquire, cost restructuring, and flip based on financial engineering are being disrupted by growth equity PE players like Vista who demonstrated the success of this model through the acquisition and sale of Marketo. Vista acquired a struggling Marketo in 2016 for $1.75B, improved it, and sold to Adobe a little more than two years later for $4.75B.
21 Lessons From Jeff Bezos’ Annual Letters To Shareholders
By John Mecke in Corporate Development No Comments
Excerpted from the CBInsights article. Read the entire piece here: https://www.cbinsights.com/research/bezos-amazon-shareholder-letters/ Since founding Amazon in 1994, Jeff Bezos has run his company according to an unconventional set of core principles: don’t worry about competitors, don’t worry about making money for shareholders, and don’t worry about the short-term. Focus on the customers, and everything else will […]
Mary Meeker Internet Trends: 2002 vs 2018
By John Mecke in Corporate Development, Private Equity No Comments
Mary Meeker from Kleiner Perkins is the undisputed leader in using big data to describe and analyze the major trends in the tech industry. She and KPCB have published a renowned annual research report since 2001. Take a look at her analysis from 2002 and her 2018 report. The differences and trends are fascinating.
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