Startup valuations — especially at the later stages — have come down drastically over the last year and a half of the ongoing market correction. Companies that once boasted sky-high valuations like Klarna and Getir have seen their valuations slashed in their latest funding rounds.
Outside of Klarna and Getir, though, very few late-stage companies have raised new primary rounds since the booming 2021 market. This means secondary data is one of the few sources where the market can turn to get a feeling of what investors think these companies are really worth today. Spoiler: Nobody thinks they are still worth their 2021 price tag.
For example, neobank Chime, a 2021 IPO hopeful, was valued at $6.5 billion in a secondary deal that closed on Monday, according to data from Caplight. This is a noticeable haircut from the $25 billion valuation it garnered in 2021. Crypto exchange Kraken was valued at $1.4 billion in a recent secondary sale, well below its last primary round valuation of $10 billion.
