Sector Snapshot Reports Key Trends in Dealmaking Consumer

Sector Snapshot: Key Trends in Dealmaking Consumer | 5 conditions to improve. PitchBook data shows that the median time between the last venture financing and going public was 1.8 years in 2023, so VCs may be safe. Amore pressing problem leading to liquidity lockup is the approximate $750 billion of aggregate valuation in consumer unicorns waiting to be unlocked worldwide. The declining venture investment flows can also be explained by the ongoing dearth of sizable exits, especially in public listings. Currently, major tech stocks are dominating equities, so even as some indexes notch all-time highs in 2024 to date, the primary exit route for VC-backed B2C enterprises remains acquisition by corporate incumbents. Such sluggish exit rates signal that VC backers are relying on sufficient runway for exit M&A remains primary driver of consumer exits Global VC exits by type (#) – Consumer Products and Services (B2C) Acquisition Buyout Public Listing 2013 2018 2015 2020 2023 2014 2019 2016 2021 2024* 2017 2022 800 700 600 500 400 300 200 100 0 *As of 02/23/2024. Source: PitchBook. Market volatility takes a significant toll Global VC exits by type ($B) – Consumer Products and Services (B2C) Acquisition Buyout Public Listing 2013 2018 2015 2020 2023 2014 2019 2016 2021 2024* 2017 2022 $400 $350 $300 $350 $300 $250 $200 $150 0 *As of 02/23/2024. Source: PitchBook.