Angel Investment Activity Report - Q1 2012 HALO Report

Document Sample
Angel Investment Activity Report - Q1 2012 HALO Report Powered By Docstoc
					Angel Group Update: Q1 2012
What is the Halo Report™?




 Angel Group Investment Trends: The Angel Resource Institute, Silicon Valley
 Bank d         Insights t t t      i
 B k and CB I i ht set out to raise awareness of early stage investment
                                                     f   l t      i    t    t
 activities by angel investment groups. The Halo Report is the result. The
 research series highlights angel investment activity and trends in North America
 and provides much sought after data that has not been previously available to
 entrepreneurs or early stage investors.

 The Halo Report includes aggregate analysis of investment activity by angels and
 angel groups and highlights trends in round sizes, location and industry
 preferences. The data is collected via survey and aggregation of public data using
 CB Insights innovative data analyses.

 Get Involved: Angel groups and individual angel investors interested in including
 their data in the Halo Report should contact Sarah Dickey, ARI Research
 Manager: 913-894-4700 and sdickey@angelcapitalassociation.org.




                                                                                      2
Angel Group Update Q1 2012: Report Highlights




Valuation of Early Deals p.4       Round Size p.5

The median pre-money               The median size of angel & angel
valuation for pre-Series A deals   group syndicate rounds remains
                   $2.5M
by angel groups is $2 5M in the    steady at $700k in Q1 2012 when
past 12 months                     compared to the 2011 median.

Syndication p.7                    Spotlight p.14

Angel groups syndicated 75%        Most Active Healthcare Angel
of Q1 2012 deals showing an        Groups & 1Q 2012 Most Active
         g
increasing trend to co-invest.         p
                                   Groups




                                                                      3
    First Look: Pre-Money Valuations in Angel Group Deals;
    Median of $2.5M over the last 12 months




                                                                  $4.0M      $6.0M
                                                                             $6 0M
                                                          $2.5M
                                        $1.4M

              $.56M

                                         1st            Median      3rd
                                       Quartile                   Quartile




*This includes all rounds with angel groups before Series A



                                                                                     4
   Median Angel Round* Size Held Steady at $700K in Q1 2012;
   After a 40% increase in 2011 over 2010




              $M


       1Q                                            $0.70
      2012                                                   $0.94


                                                     $0.70
      2011
                                                                     $1.06


                                             $0.50
      2010
                                                               $0.98

            $0.00
            $0 00                        $0.50
                                         $0 50               $1.00
                                                             $1 00             $1 50
                                                                               $1.50


                        Median Round Size                    Mean Round Size


*Angel rounds include angels & angel groups only



                                                                                       5
Median Round Size is $1.4M when Angel Groups Co-
Invest with Other Types of Investors

                    Angels with Other Investors
        $M


  1Q                     $1.38
 2012                              $1.95


                          $1.50
 2011
                                                   $3.26


                                   $1.95
 2010
                                                              $3.96

    $0.00
    $            $
                 $1.00           $
                                 $2.00     $3.00
                                           $               $4.00
                                                           $          $
                                                                      $5.00


             Median Round Size                Mean Round Size




                                                                              6
Angel Groups’ Co-Invested Deals Increased in Q1 2012




        %
 100%


  80%                                   74.5%
             63.1%
             63 1%
  60%


  40%                       36.9%
                                                   25.5%
                                                   25 5%
  20%


   0%
                     2011                   1Q 2012

            Angel Group Co-Investment   Not Co-Invested




                                                           7
Angel Group Update Q1 2012: National Activity Snapshot




 Note: The following data covering regions and sectors is
 based on activity for the past year (2Q 2012 – 1Q 2011 or April
 2011 – March 2012) rather than Q1 2012 only, in order to best
 demonstrate the angel group activity across the country.




                                                                   8
     Angel Groups are Active Throughout the U.S.
     over the past 12 months



                                                                      New England
                  Northwest                                              14.5%
   ALASKA
                    8.3%                                   New York
                                                             6.2%
                                  Great Plains
                                     3.6%        Great Lakes
                                                    13.8%         Mid-Atlantic
                                                                     9.3%
 California
  18.8%
                      Southwest                     Southeast
                        11.9%                         13.5%


HAWAII




                                                                                 9
California Companies Received 25% of Total Funding
over the past 12 months



                               Great Plains
     $M                           2.9%
                        Northwest 2 9%
                 New York 4.9%
                    6.9%                                      California
                                                              Southeast
          Mid-Atlantic                           California
                                                 C lif i
             7.6%                                 25.7%       New England
                                                              Great Lakes
                     Southwest                                Southwest
                       9.3%
                       9 3%
                                                              Mid-Atlantic
                                                  Southeast
                         Great Lakes               18.4%      New York
                           12.0%
                                         New                  Northwest
                                       England
                                        12.3%                 Great Plains




                                                                             10
Internet Sector Dominates Angel Group Deals
over the past 12 months

      %
40%
          34.9%
          34 9%
35%

30%

25%
                   21.0%
20%

15%                                                                        12.8%
                                 10.8%
10%
                                         7.0%
                                                5 3%
                                                5.3%         4.6%
                                                             4 6%
 5%                                                                 3.6%

 0%

            Internet                            Healthcare
            Mobile & Telecom                    Industrial
            Software (non-internet/mobile)      Consumer Products & Services
            Energy & Utilities                  Other




                                                                                   11
Healthcare Companies Receive the Largest Share of Total Dollars
over the past 12 months

      $M
35%        32.7%
                      30.5%
30%


25%


20%


15%                                                                   13.2%

10%
                                6.8%   5.8%    5.8%         5.1%
                                                            5 1%
 5%


 0%

             Healthcare                       Internet
             Mobile & Telecom                 Energy & Utilities
             Industrial                       Software (non-internet/mobile)
             Other




                                                                               12
Spotlight: Healthcare
Most Active Groups in Healthcare Deals over the past 12 months




                       Pittsburgh, PA


  Palo Alto, CA                                 Austin, TX



                       Columbus, OH



   Tucson, AZ
                                            Southern CA



                                                                 13
Most Active Angel Groups: Total Deals for Q1 2012




   Southern CA                               Seattle, WA




                        Boston, MA




     Austin, TX                              Boston, MA



                                                           14
Understanding the Data:
Special Round Types and Industry Sectors


The Halo Report™ is a quarterly report that provides analysis and trends on US angel and
            activity.
angel group activity
Angels and angel groups invest alone, together, and with many other types of investors.
Unless otherwise noted the Halo Report data includes all rounds that have at least one angel
group participating and may include other types of investors in those rounds.
This       di             l        i               h              h i l di         deals
Thi report discusses angel group investments over the past 12 months including 602 d l
and $749.7 M total funding including co-investors.
A few slides report on an “Angel Round,” a special classification of investment for when angel
groups invest alone or just with other angels and angel groups.
Unless otherwise noted, values of less than <1% are included, but are not labeled.

Halo Report Industry Sectors
Internet                       Industrial                     Financial Services
Mobile & Telecom               Automotive & Transportation    Food & Beverages
Software                       Business Products & Services   Leisure
Energy & Utilities             Consumer Products & Services   Media
Computer Hardware & Services   Electronics                    Metals & Mining
Healthcare                     Environmental Services &       Retail
                               Equipment                      Risk & Security




                                                                                                 15
Halo Report Contacts


Angel Resource Institute
Sarah Dickey, sdickey@angelcapitalassociation.org
The Angel Resource Institute (ARI) is a charitable organization devoted to education, mentoring and research in the field of angel
investing, a growing driver of our entrepreneurial economy. ARI was founded by the Ewing Marion Kauffman Foundation. The
programs of ARI include educational workshops and seminars, research projects and reports, and information about angel investing
for the general public. ARI is affiliated with the Angel Capital Association, the professional association of angel groups in North
America. More information is available at www.angelresourceinstitute.org.


Silicon Valley Bank / SVB Accelerator
Carrie Walsh, cwalsh@svb.com
Silicon Valley Bank is the premier bank for technology, life science, cleantech, venture capital, private equity and premium wine
businesses. SVB provides industry knowledge and connections, financing, treasury management, corporate investment and
international banking services to its clients worldwide through 27 U.S. offices and seven international operations. (Nasdaq: SIVB)
www.svb.com.
Silicon Valley Bank is the California bank subsidiary and the commercial banking operation of SVB Financial Group. Banking services
are provided by Silicon Valley Bank, a member of the FDIC and the Federal Reserve System. SVB Financial Group is also a member
of the Federal Reserve System.


CB Insights
Anand S
A           l        l@ bi i ht
     d Sanwal, asanwal@cbinsights.com
CB Insights is a National Science Foundation-backed data-as-a-service firm that collects information on private companies and their
investors and acquirers. CB Insights data and technology is used by firms to make better marketing, procurement, lending, acquisition
and equity investment decisions and to gather data-driven market and competitive intelligence. The firm's data is regularly cited by
leading media publications including the New York Times, Forbes, BusinessWeek and Fast Company among others. For more
information, visit http://www.cbinsights.com.




                                                                                                                                        16
                                                SVB , SVB>Find
©2012 SVB Financial Group. All rights reserved. SVB>, SVB Find a way, SVB Financial Group, and Silicon Valley
Bank are registered trademarks.
Angel Resource Institute and CB Insights are independent third parties and are not affiliated with SVB Financial
Group.
This material, including without limitation to the statistical information herein, is provided for informational purposes
   l The     t i l is based i part on i f
only. Th material i b     d in     t    information f
                                                 ti from thi d
                                                            third-party sources that we believe t b reliable, b t which
                                                                     t          th t     b li    to be li bl but hi h
have not been independently verified by us and for this reason we do not represent that the information is accurate
or complete. The information should not be viewed as tax, investment, legal or other advice nor is it to be relied on
in making an investment or other decision. You should obtain relevant and specific professional advice before
making any investment decision. Nothing relating to the material should be construed as a solicitation, offer or
                                                                                          transaction.
recommendation to acquire or dispose of any investment or to engage in any other transaction




                                                                                                                            17

				
DOCUMENT INFO
Shared By:
Categories:
Stats:
views:1017
posted:7/9/2012
language:English
pages:17
Description: Angel investment activity is detailed in the Q1 2012 Halo Report issued by CB Insights, Silicon Valley Bank and the Angel Resource Institute.