Bridge down rounds on the rise
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Higher than usual prevalence of equity financing rounds persisted last year, while down bridge rounds increased in Q3 and remained high through year-end.
Down round prevalence increased to 12.45% of all rounds in Q4 2023, while flat rounds remained steady at 6.23% of all rounds in Q4, according to data from Aumni-tracked venture deals.
Bridge down rounds, defined as financing events in which a Convertible Note or SAFE issued by a company contains a valuation cap lower than the post-money valuation of the immediately preceding round, increased to 30.22% in Q3 and stood at 29.15% in Q4.Want to explore more?
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