Last Week on VC Twitter — July 28th 2019

VC Slack: @channel Cancel your summer vacations, we have term sheets to write!

Congrats!

About 20%* of the tweets on VC twitter are congratulatory tweets (for new jobs, new rounds, exits, and life events). In that spirit, congratulations for signing up to the VC Starter Kit Newsletter. This newsletter will be going over the latest happenings in the “wonderful world of venture” along with one-off posts digging into specific trends & events.

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Last Week on VC Twitter

👀 Vision Fund II announces an initial fund size of $108B.

The fund size will likely grow. VCs breath a sigh of relief for their late-stage portfolio. The fund claims to have a 45% IRR for Vision Fund I (we’ll dig into this number in another edition).

Notable Inclusions:

  • Softbank is seeding the fund with $38B (made possible by the merger of Sprint/T-Mobile and by recycling the returns from Fund I)

  • Japanese Financial Institutions. Considering 10Y Japanese government bond yields are hovering around -0.15%, 45% certainly looks a whole lot better.

  • Tech giants like Microsoft and Apple.

Notably Missing:

  • The sovereign wealth funds of Saudi Arabia & Abu Dhabi (who were in Fund I). They may still join.

🎉 Congrats Twitter

☀️ It's an unusually busy summer for VCs. Lots of term sheets are being issued

💰 New rounds for @RobinhoodApp, @OpenAI, @Hipcamp

HipCamp’s recent $25M Series B (at $127M) was led by Andrew Chen at A16Z. It follows a $9.5M round led by Sarah Tavel at Benchmark in October 2017 (at ~$38M). If you are trying to do the math, the paper writeup on just the A comes out to a ~85% IRR (not that calculating paper IRR on early individual investments is useful)