Startups' Valuations Are Climbing More Slowly Since Covid-19
But April was slightly better than March, according to a new study.
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The coronavirus pandemic is still hitting startup valuations hard, but the pain was less acute in April than in March, according to a new report from Silicon Valley law firm Fenwick & West.
About the same number of companies, 64, got venture funding in April compared to an average month in 2019, the report’s authors wrote. But the per-share change in a private company’s stock price rose only 60% with each new funding round. That’s a bit better than in March when share prices went up by only 42%, but far worse than in the average month last year, when startups’ stock prices increased by 93%.