Background –

We analyzed the terms of 234 venture financings closed in the fourth quarter of 2018 by companies headquartered in Silicon Valley. We found that valuation results are at three-year highs, with the software industry recording the strongest valuations. Our data also show a steep decline in the use of multiple liquidation preferences.

Overview of Fenwick & West Results -

Valuation results in the fourth quarter of 2018 improved upon the already strong levels recorded in the prior quarters of the year and are at three-year highs.