Hello and welcome back to Equity, TechCrunch’s venture capital-focused podcast, where we unpack the numbers behind the headlines. This week the normal band was together, with Connie Loizos, Danny Crichton and myself on hand, along with IVP investor Jules Maltz.
We had yet another episode of market turmoil, which was again reversed to some extent before we could even talk about it. Our questions are somewhat simple: When does all this public market mayhem begin to impact private markets? Maltz isn’t worried yet, but we wondered not only about what level of upheaval is enough to change things, but also how we’d be able to tell when things were changing.
But, in keeping with recent news, the venture world is still blasting along. This week we talked about three different billion-dollar-plus rounds, including:
- A new Thrive Capital fund (historical chart here), that tips the scale at $1 billion;
- A new Bessemer fund (historical chart here) that weighs in at $1.85 billion;
- And a new vehicle from Tiger Global (historical chart here) that covers a full $3.75 billion.
That’s a lot of new money charging into tech. If there’s going to be a downturn anytime soon, it’s going to be a downturn that can afford a Bently. At least if the venture world keeps writing checks.
But not everything was doom, gloom and new cash. Yes, we had an IPO to go over. Qualtrics, one of the lesser-known but highest-quality companies out of the Utah scene, is going public, and we like what we see.
How does solid revenue growth in the nine-figure range, effectively break-even GAAP profits and strong cash flow sound? We’re guessing it’s going to sound pretty good to public market investors who have paid top dollar recently for tech IPOs that seem to be of, if we may, lesser quality.