Looking for the Next BIG thing: Israel's leading investors speak 8/2/11

1. Current Trends in United States Venture Capital Investing
MIT Enterprise Forum of Israel
Looking for the Next BIG Thing: Israel's leading investors speak
February 8, 2011

2. Israel Business Practice
Who We Are
• AM-Law 100 full service U.S. law firm
• Offices in Boston, London, UK, Los Angeles, New York, Palo-Alto, San Diego,
Stamford, CT, Washington D.C.
• Israel liaison office in Herzelia
• Recognized leader in serving technology based companies in Industries such as high-
tech, health, clean-tech and the life-sciences
• 40 years of experience in taking emerging technology companies public
• Over 10 years of experience in supporting Israeli businesses
• Over 80% of our firm’s attorneys have Israel-related work experience
• Commitment to working with clients to build long term success
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3. Israel Business Practice
Representative Israeli Clients
• Alvarion • Lumenis
• American Well Corp • Medingo
• Cheetah Medical • Mobile Access Networks
• CellEra Technologies • NeuroPhage
• Elron • Nice Systems
• Gamida Cell • RDC
• Glycominds • Rosetta Genomics
• IMDsoft • Scodix Ltd.
• Israel Discount Bank of NY • Teva Pharmaceuticals
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4. Venture Capital and Emerging Companies
Venture Capital and Emerging Companies
• More than 200 completed venture capital transactions since 2008, with an aggregate
transaction value of over $1.7 billion
• Represent founders, companies and venture capital and other investors
• All stages, from early or seed-stage investments through subsequent multi-investor and
late stage financing
• Frequently initiate introductions between our start-up clients and our network of “angel”
investors and venture capital firms
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5. Current Trends in United States Venture Capital Investing
Venture-Backed IPO’s and M&A Deals, 2005-2010
Source: NVCA
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6. Current Trends in United States Venture Capital Investing
Total Dollars Raised by VC Funds – 2005-2010
Source: NVCA
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7. Current Trends in United States Venture Capital Investing
Investment in Different Stages
Source: PWC/NVCA MoneyTree Report, Q4 2010
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8. Current Trends in United States Venture Capital Investing
VC Investments in IT, Biotech and Cleantech, 2005-2010
Source: PWC/NVCA MoneyTree Report
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9. Current Trends in United States Venture Capital Investing
Zynga Financings
• January 15, 2008: Zynga raises $10M from Avalon Ventures; Foundry Group; and Union
Square Ventures
• July 23, 2008: Zynga raises $29M from Avalon Ventures; Foundry Group; Institutional
Venture Partners; Kleiner Perkins; and Union Square Ventures
• December 15, 2009: Zynga raises $180M from Andreessen Horowitz; Institutional
Venture Partners; Mail.ru Group; and Tiger Global Management
• June 14, 2010: Zynga raises $150M from SOFTBANK Corp.
• July 10, 2010: Zynga raises $200M from Google Inc.
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10. Current Trends in United States Venture Capital Investing
Twitter Financings
• July 25, 2007: Twitter raises $4.8M from Charles River Ventures and Union Square
Ventures, among others
• January 8, 2008: Twitter receives an undisclosed amount from DG Incubation, Inc.
• May 21, 2008: Twitter raises $15M from Union Square Ventures
• June 24, 2008: Twitter raises an undisclosed amount from Bezos Expeditions; DG
Incubation; Spark Capital; and Union Square Ventures
• February 12, 2009: In a Series C round, Twitter receives $21M from Benchmark Capital and
$14M from Institutional Venture Partners, in addition to funds from DG Incubators, Charles
River Ventures, Spark Capital and Union Square Ventures
• September 24, 2009: Twitter raises $100M from T. Rowe Price Group, Insight Venture
Partners, Spark Capital and Institutional Venture Partners
• November 17, 2010: Kleiner Perkins and other existing investors raise $200M for Twitter; to
date, Twitter has raised over $360M
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11. Current Trends in United States Venture Capital Investing
Facebook Financings
• April 15, 2005: Facebook raises $12.7M from Accel Partners in a Series A financing
• April 19, 2006: Facebook receives $27.5M in funding from Greylock Partners; MeriTech
Capital Partners; Accel; and Peter Thiel
• October 24, 2007: Facebook raises $240M in an equity round from Microsoft, with
Microsoft holding a 1.6% stake in the company
• April 22, 2009: Facebook raises another round of funding from Millennium Technology
Value Partners
• May 26, 2009: Facebook receives $200M in funding from Digital Sky Technologies
Limited, which receives a 1.96% stake in the company, valuing it at $10B
• December 31, 2010: Facebook receives a $500M round of equity funding from Goldman
Sachs, Merchant Banking Division and Mail.ru Group, valuing the company at $50B
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12. Current Trends in United States Venture Capital Investing
Groupon Financing
• December 2, 2009: Groupon raises $30M from Accel Partners and New Enterprise
Associates
• April 16, 2010: Groupon raises $135M from Accel; Battery Ventures; and Mail.ru Group,
and issues equity securities
• December 17, 2010: Groupon raises $950.09M from Fidelity Investments; Mail.ru Group;
Morgan Stanley Private Equity; and T. Rowe Price Group
– As of January 10, 2011, a number of other VCs had joined the investment, including Kleiner
Perkins; Andreessen Horowitz; Battery Ventures; Greylock Partners; Mail.ru Group; Maverick
Partners; Silverlake Partners; and Technology Crossover Ventures, valuing the company at
$4.75B
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13. Thank You!
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