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The Sky Cliff Portal is a search tool for obtaining information about Late-Stage Private Companies. The Portal gathers data about companies' business activities, investment rounds, IPO announcements, financial indicators, and more. You can locate a specific company by its name using the search function in the main menu or by applying a set of parameters within the Company list page. Should you require further information about a company or details about available offerings from brokers, please utilize the feedback form (Request price information section).

The Late-Stage Private Equity Market encompasses the trading of shares in well-established private companies that have reached a mature stage in their development. Typically, the valuation of these Late-Stage Private Companies exceeds $1B. This market segment is sometimes referred to as the "pre-IPO company" market because most Late-Stage Private Companies aim to go public once they've achieved their business objectives. However, it's important to note that not all companies in this category choose to go public. Many Late-Stage Companies opt to remain private and continue raising capital through private market rounds. Investors can buy and sell shares of Late-Stage Private Companies on the Secondary Market.

Large international investors, such as BlackRock and Goldman Sachs, participate in funding rounds when private companies seek capital for business expansion. Typically, the majority of a company's shares are held by its founders, management, and regular employees. In the United States, employees often own an average of 20% of their company, which serves as a powerful incentive. Smaller investors can gain exposure to private companies by purchasing shares on the secondary market. They acquire shares from existing shareholders, which can include the company's founders, employees, or large funds that previously invested in funding rounds. There are several methods for investing in private companies:

• Direct Investment in the Company's Cap Table: This approach involves directly acquiring shares in the company's ownership structure. However, it's important to note that this option is not always accessible to everyone and often requires a substantial investment commitment, typically exceeding $1M.

• Investment via Special Purpose Vehicles (SPVs): Investors can opt to invest through SPVs, which are entities created specifically for the purpose of investing in the target company. This method can provide greater flexibility and accessibility for a broader range of investors.

• Forward Contracts: Investors can use forward contracts to gain access to shares in private companies. This method allows investors to secure shares at a predetermined price in the future, offering an alternative approach when direct investment in the cap table is not feasible.

• Securitization Vehicle: This option involves the creation of financial instruments backed by assets, such as shares in private companies, allowing investors to indirectly invest in these assets.

Here's a summary of the usual transaction procedure:

1. Agreeing on Main Terms: The first step is to agree on the key terms of the deal. This includes determining the price per share, the quantity of shares to be purchased, and providing relevant investor details, such as the buyer's name and address.

2. Signing the STN (Share Transfer Notice): Both the buyer and seller sign the STN, which is a notice to the company of the intention to transfer the shares. STNs are typically binding agreements, enforceable under federal and state laws, making the involved parties legally obligated to fulfill their obligations.

3. ROFR (Right of First Refusal) Period: Following the signing of the STN, a ROFR period begins, which typically lasts around 30 calendar days. ROFR gives existing shareholders the right to purchase the shares before they are offered to the public, ensuring they don't lose their rights to the asset.

4. KYC (Know Your Customer) of the Buyer: During the ROFR period, the buyer undergoes a KYC process, which may involve filling out relevant forms, providing identification (e.g., passport copy), and proof of residential address (e.g., a bank reference letter or utility bill).

5. KYC of the Seller: Once the ROFR has been waived or completed, the seller also undergoes KYC, which may include providing identification and evidence of share ownership, such as an option agreement and a statement of holdings in the company's cap table.

6. Signing the SPA (Share Purchase Agreement): The buyer and seller sign a Share Purchase Agreement and other necessary transaction documents. The seller also signs the Share Transfer Instrument. All these documents are submitted to the company.

7. Payment for Shares: The buyer makes payment for the purchased shares. This payment is usually made directly to the seller's bank account. In cases where the buyer is acquiring an option, the payment may also be directed to the company.

8. Transfer of Shares to the Buyer: Once the seller confirms receipt of the payment for the sold shares, the company is notified. The company then updates the cap table to transfer the shares to the buyer and provides a confirmation statement. Different companies may use various tools or systems to manage their cap table, such as electronic systems like Certent, Carta, or Shareworks.

Private companies are not required to publicly disclose their financial statements. However, various sources provide access to information about a company's financial health, including company websites, press releases, analyses by trusted experts, reputable specialized portals, SEC filings, court documents, and pitch decks.

The Sky Cliff Portal offers a streamlined solution to save your time and resources. We aggregate data from these diverse sources, meticulously verify it, and present it in a structured format for easy comparison across different parameters. While no source is flawless, our portal adheres to a "best efforts" approach to ensure data accuracy. We prioritize data from sources with a proven track record of reliability and a low historical margin of error.

In the Private Market, there isn't a singular point of liquidity akin to traditional exchanges. However, the Sky Cliff Portal addresses this challenge by aggregating data from over 10 licensed brokers. This allows users to access a comprehensive overview, encompassing bids, asks, deal prices, and fund reports. Additionally, we collaborate with funds, Private Equity marketplaces, and direct company owners.

It's important to note that prices on the Sky Cliff Portal are indicative and not offers. For a detailed history of changes in a company's share price, navigate to the "IPO and share price" tab for each respective company. To inquire about a specific company's price, simply click on "Request price information.

Late-Stage Private Equity multipliers may differ both in greater and lesser ways. Firstly, the private market is less prone to panic, i.e. less volatile. Secondly, a startup raises funds for the development of a new product/service and evaluates itself based on future profits. A company may not have a profit at the moment: for example, a company that builds a space station.

All available information about the company's plans regarding the IPO is accumulated on the "IPO and share price" tab for each company. The source of the information will be indicated there too. You can also view the section of the main menu "IPO Calendar", where the forecasts of IPOs and rounds are collected. There are two types of forecasts. A high degree of probability is indicated if the event was announced by the company itself or a close / authoritative source. A preliminary forecast — a lower degree of probability — is indicated if indirect signs speak about the event. In the case of an IPO, this means changing the CFO, achieving a significant amount of revenue, making a profit, etc. We can't guarantee the timing and the fact of the company's IPO. And today, an IPO is not a target exit point for an investor. Shares of Late Stage Private Equity can be bought and sold on the secondaries market.

The Sky Cliff portal does not act as an investment adviser on transactions and cannot guarantee profitability. We provide the maximum available information about companies, trying to highlight the positive and negative sides. The presence of the company on the portal does not indicate our positive assessment of this company and cannot be considered as a recommendation or offer. Late-Stage Private Equity deals attract investors because they often bring high returns. However, it should be remembered that such transactions are high-risk. Indicators of the growth of the company's value in the past can't be used to predict the growth of the company's value in the future.

The Sky Cliff Portal uses the following terms to describe company valuation:

1. Pre-money valuation: The valuation of the company before an investment round.
2. Post-money valuation: The valuation of the company after an investment round, typically calculated as the pre-money valuation plus the amount of funds raised in that round.
3. Current valuation: The valuation based on the last-known transaction, which can be an investment round or a deal on the secondary market.
4. Approximate valuation: Found on the "Deals and Prices" page, it includes not only the price per share but also the corresponding company valuation when possible.

The current valuation and approximate valuation on the "Deals and Prices" page are indicative and are calculated based on the share price and valuation from the last-known investment round. For example, if the price per share in the most recent round was $1 and the post-money valuation was $1B, and a current shareholder wants to sell shares on the secondary market for $2 per share, the "Deals and Prices" table would show a company valuation of $2B. This indicates that the shareholder believes the company's value has doubled since the last round.
Each analytical chart on the Portal includes a description explaining how its valuation is calculated.

The portal's analytics, charts, and infographics are created by inputting standardised data into company cards. Each analytical chart on the Portal includes a description explaining how it is calculated.

Revenue figures: Based on the revenue for the last completed calendar year. If actual revenue data is unavailable, we use the company’s target or forecasted revenue for the same year.
Number of customers and employees: Reflects the latest data publicly disclosed by the company.

If we cannot verify the necessary information, the company's data will not be included in the corresponding chart or infographic.
All data is updated at least once a month to ensure accuracy and relevance.