The Prime Unicorn Index benchmark, the standard bearer for private markets benchmarking, tracks post-money valuations for U.S-based, VC-backed private companies. Reflecting the broader private market, the Index is down 6.79% year to date and dropped 15.37% in 2022.
But looking at individual component companies, in particular the variance between its preferred stock price (issued to the institutional investors) versus the common price (issued to its employees) and the relative movement (up or down), can provide a more accurate picture of what is happening in the private markets.
For example, Pacaso, Inc. (FKA: Landholdings, Inc.) is modernizing the practice of co-ownership by creating a marketplace that makes buying, owning, and selling a second home easy. It is also a component in the Prime Unicorn Index benchmark, the standard bearer for private markets benchmarking.
In September 2021, Pacaso raised $125mm in a Series C Preferred round led by SoftBank, with participation from Fifthwall, Gaingels, and others which valued the company at roughly $1.5 billion on a post-money valuation basis at a preferred price per share of $5.36. On June 26, 2023, it authorized a Series C-3 preferred round at $1.76 per share, dropping the company’s valuation to roughly $510mm. This jeopardizes the company’s status as a unicorn, meaning it may be removed from the Prime Unicorn Index at the end of the next quarter.
6Sense Insights provides a predictive intelligence engine designed to transform both sales and marketing for business-to-business (B2B) companies. The company accelerates sales by finding buyers at every stage of the funnel. Using time-sensitive behavioral data, the company offers predictions to uncover net-new companies and contacts the funnel when it is most valuable, and prioritizes known prospects that are ready to buy. It is also a component in the Prime Unicorn Index benchmark, the standard bearer for private markets benchmarking.
Its last preferred round of Series E was $201.2mm in January 2022, with participation from Tiger Global, Softbank, D1 Capital Partners, and others which valued the company at approximately $4.6 billion on a post-money valuation basis at a preferred price per share of $31.63. Since its last financing, the company has filed two Employee Plan Exemption Notices with the state of California. The last two government filings indicated its common shares were priced at $12.51 per share (April 20, 2022) and $7.01 per share (June 02, 2023), indicating a 47.17% decrease in the value of its common shares that were granted to company executives.
Mythical, Inc. (DBA: Mythical Games) is a next-generation game technology studio creating new gaming economies driven by player ownership. It is also a component in the Prime Unicorn Index benchmark, the standard bearer for private markets benchmarking.
In November 2021, Mythical raised $150mm in a Series C Preferred round led by a16z, D1 Capital Partners, Binance, FTX, and others which valued the Company at roughly $1.1 billion on a post-money valuation basis at a preferred price per share of $10.77. The company recently raised $37mm in a down round led by Scytale Digital with participation from ARK Invest, Stanford Athletics, a16z, and others. On June 16, 2023, it authorized a Series C-1 preferred round at $8.28 per share, keeping the company’s valuation at nearly $1.1 billion.
In an earlier article, we looked at Alto Pharmacy and Laceworks’ down rounds and common share write-downs. Taken with Mythical, 6Sense, and Pacaso, one starts to sense a season of difficulty lying ahead for the broader private markets. Stay ahead of the trend by utilizing the Prime Unicorn Index, its advanced charting analytics, and deep insights into the private markets. Learn more here.