Sign up to receive 5 free days of our daily summary for tech news.

Read this article for free.

Already a subscriber? Log in here

Markets

Mutual Funds Show Markdowns On Private Stocks

In the public market, bad news for a company typically sends its stock plunging. In the private market, of course, there’s no opportunity for such an immediate reaction. But the growing number of institutional investors in private companies can still take their own writedowns, providing a window into how valuations in the private tech sector can fall as well as rise.

Data analytics company MongoDB, for instance, announced earlier this year it raised $80 million, increasing the reported valuation of the private company to $1.6 billion from $1.2 billion. But public filings by its investors tell a less rosy story.

What Is The Information?

Notes bb3aa5069205d702dda37fc71dc6f1c59df2310c4379304e9f1199f052af4884

Exclusive Articles

Receive original reporting about the most important tech companies, from Apple to Uber, in your inbox or online.

Notebook b5103017ee163370a1667c9ce59ab0ef023875a17888105d26c185cadf31bb69

Daily news analysis

Every weeknight, we'll send you our reporters’ views on the day’s top tech news—distilled into one email.

Conference calls c9e664e8b96ee347d3e92b8309938f268422b9db98cfabca5c826fbb75054b23

Conference calls

Go deep into areas like crypto and VC diversity—or get real-time analysis of breaking news—via conference calls with our reporters and other experts.

Events 499acedd16cffc41445edd76bfd302b2836c2a27419890f17130a6b10e2aa3df

Special Events

For no extra fee, subscribers get access to dozens of events a year, from intimate dinners to larger gatherings with marquee speakers.

Access the best reporting on the tech industry read by tens of thousands of global executives.

Become a contributor

Share your views and find other subscribers by completing your profile. You’ll be listed in our contributor directory.

Org Charts

Access the only collection of tech company org charts. Our expanding database includes companies like Amazon, Snap, and Uber.

Slack community

Discuss topics and current events with our subscriber-only Slack group and share news about your company with other subscribers.

Share with your team

Subscribers can unlock any article and share it with friends and co-workers through a special share link.

Stay up to date on Silicon Valley

Sign up for Jessica Lessin’s (The Information’s CEO & Founder) free Saturday newsletter and also receive a complimentary week of our daily afternoon tech commentary email.

Already a subscriber? Log in here

Recent Articles

Media Enterprise Cities Uber/Lyft Entertainment

Tech IPO Hopes Turn to 2018

By Serena Saitto

Apple Markets

Spotify’s Q3 Revenue Points to Full Year Growth of 40%

By Alfred Lee

Venture Capital Markets

What’s the IPO Price? Check With the Mutual Funds

By Alfred Lee and Mike Sullivan

Startups Policy

Juul Soars Despite Investor Discomfort With E-Cigarettes

By Alfred Lee and Cory Weinberg

Estimating stock values of private startups can be “subjective and tricky,” said Leonard Rosenthal, a finance professor at Bentley University.