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Term Sheet -- Friday, April 19

Polina Marinova
Term Sheet -- Friday, May 17

  • SOARING

    “I have no idea why.”

    No, that’s not what I say when I get an angry email from a company asking why their funding round wasn’t in Term Sheet today 😅 It’s how Zoom CEO Eric Yuan responded to Fortune’s question about why shares in his video company soared 76% in their first day of trading after the IPO. Gotta appreciate the candor.

    Asked whether Zoom had left money on the table by pricing its shares too low, Yuan said that Wall Street’s reaction was “out of our control.” He added that Zoom considers investors as its partners, and he “always wants the partner to make money as well.”

    Zoom, whose shares finished at $62, raised nearly $350 million through its IPO, which coincided with the IPO of online pinboard Pinterest. Pinterest shares also soared in their first day of trading with a gain of 28% to $24.40.

    My colleague Jen Wieczner explains how Pinterest’s IPO might’ve made you richer, even if you didn’t buy the stock yesterday. She explains that although venture capitalists and hedge funds typically dominate private funding rounds, the Pinterest IPO is an exception: One of the company’s largest shareholders is Fidelity, which owns Pinterest stock on behalf of many retirement savers, whether they know it or not.

    Fidelity owns 7.1% of Pinterest, nearly as much as the 9.6% stake held by Andreessen Horowitz and more than the 6% owned by Valiant, one of Pinterest’s hedge fund backers. Most of Fidelity’s shares, which are now worth more than $787 million in total, are held in the Fidelity Contrafund, a mutual fund that is a popular offering in 401(k) retirement plans.

    Here’s what’s interesting: Fidelity funds owned shares in Lyft before the ride-hailing company went public in March; their stakes are now worth more than $1 billion combined. They also hold stock in Uber as well as other highly valued private companies such as WeWork and Airbnb.

    In other words, Fidelity is a force behind the scenes.

    Read the full story here.

  • VENTURE DEALS

    Gen.G, a Playa Vista, Calif.-based esports organization, raised $46 million in funding. Investors include Will Smith, Los Angeles Clippers minority owner Dennis Wong, New Enterprise Associates, Conductive Ventures, Battery Ventures, Canaan Partners, SVB Capital and Stanford University.

    Redox, a developer of a healthcare data exchange, raised $33 million in Series C funding. Battery Ventures led the round, and was joined by investors including .406 Ventures, RRE Ventures and Intermountain Ventures.

    Zapata Quantum, a Cambridge, Mass.-based quantum computing startup, raised $21 million in Series A funding. Comcast Ventures and Prelude Ventures led the round, and was joined by investors including Pitango Ventures, BASF Venture Capital, Robert Bosch Venture Capital, Pillar VC and The Engine.

    Kindbody, a New York-based women’s healthcare startup, raised $15 million in Series A funding. RRE Ventures and Perceptive Advisors led the round, and was joined by investors including Green D Ventures, Trail Mix Ventures and Winklevoss Capital.

    Alsid, a Paris-based active directory protection solution provider, raised 13 million euros ($14.6 million) in funding. Idinvest Partners led the round.

    Halo Investing, a multi-issuer technology platform for structured note, raised $11 million in funding. Investors include Allianz Life Ventures, an affiliate of Piton Investment Management, William Blair Circle.

    PopBase, a Los Angeles-based creator of interactive digital fan clubs for social media influencers, raised funding of an undisclosed amount, from Queen City Angels.

    Pink Lily, a Bowling Green, Ky.-based online fashion retailer, raised funding of an undisclosed amount. The investors were not named.

  • HEALTH AND LIFE SCIENCES DEALS

    Talaris Therapeutics Inc, a Boston and Louisville-based biotechnology company, raised $100 million in Series A funding. Blackstone Life Sciences led the round, and was joined by investors including Longitude Capital and Qiming Venture Partners USA.

    Nocion Therapeutics, a Cambridge, Mass.-based biopharmaceutical startup, raised $27 million in Series A funding. F-Prime Capital Partners and Canaan led the round, and was joined by investors including Partners Innovation Fund and BioInnovation Capital.

  • EXITS

    Reali acquired Lenda, a San Francisco-based online direct mortgage lender. Financial terms weren’t disclosed. Lenda had raised approximately $10 million in venture funding from investors including SF Capital Group, Lakestar, and Tom Fellows.

  • FIRMS + FUNDS

    Cerberus Capital Management, a New York-based private equity firm, raised $5.1 billion for its NPL fund.

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    Polina Marinova produces Term Sheet, and Lucinda Shen compiles the IPO news. Send deal announcements to Polina here and IPO news to Lucinda here.