Dave Titus, President of SDVG and Managing Director of Windward Ventures, shares his presentation delivered at Venture Summit Friday, July 12, 2013

1. David Titus, President
SDVG
Venture Status Update
SDVG
Managing Director
Windward Ventures

2. 250
300
25
30
35
$ Raised # of Funds
Venture Fundraising 2005-13
0
50
100
150
200
0
5
10
15
20
2005 2006 2007 2008 2009 2010 2011 2012 2013
#ofFunds
$Billions

3. • Top 20 raise 55% of all Dollars
– Average Fund Size of $400M
– Everyone else averages $41M
Consolidation of the VC Industry
– Everyone else averages $41M
• Active funds down 20% in 5 years
– 1H 2013 data shows same trend
• Secondary Markets hardest hit

4. 25
30
35
$B Raised $B Invested
Venture Investing 2005-13
0
5
10
15
20
25
2005 2006 2007 2008 2009 2010 2011 2012 2013

5. • Imprecise Data
• Non-traditional “funds”
– Family Offices
VC Deficit Spending
– Family Offices
– Foreign Investors
– Hedge Funds
• Corporate Venture Capital
– Leading growth segment – Up 50% in 3 years
– But leveling off

6. • Financings will be harder
– Plan for that reality
– Practice Your Pitch (Repeat 3 times!)
Implications - Entrepreneurs
– Practice Your Pitch (Repeat 3 times!)
– Be ready to travel
• Go Big or Go Small
• You must be exceptional
– Add management talent that has done it

7. • Exits are up!
– 21 venture IPOS in Q2 2013
– 11 Biotech IPOs
The Good News
– 11 Biotech IPOs
• M&A is the key to F500 growth
• Hard things are popular again

8. 4.50%
5.00%
1100
1200
1300
$ Raised % of Total
San Diego Investing
2.50%
3.00%
3.50%
4.00%
500
600
700
800
900
1000
2008 2009 2010 2011 2012 2013

9. • Acutus $21M
• Colorscience $10M
• eFFECTOR $45M
• EcoATM $40M
• Tealium $15.6M
• Sotera Wireless $15M
Notable Deals 2013
• eFFECTOR $45M
• Lumena $23M
• Topera $25M
• Viacyte $10.6M
• Sotera Wireless $15M
• Takelessons.com $4M
• DB Networks $4.5
• One Roof Energy $30M

10. Exits & IPOs

11. www.sdvg.org
900
@SDVG
1,400
SDVG
300

12. Predictions