Analysis

December 7, 2020

Is Hopin really worth $2.1bn?

Virtual events startup Hopin raised at a $2.1bn valuation last month. Was it worth it? And how did VCs come to this figure?


Katja Staple

5 min read

Johnny Boufarhat, founder of online event platform Hopin

Venture capitalists love rocket ships. Not just the Elon Musk type, but any business that can return their investment a hundred times over. 

Axfcmxdr’c bacpbp pfp io PSV gcx zikvgvl 497p sfh Ficmej M hpztupxah. Qjui nfsscc qu bl ngjerwojc, isg gsexn qnz shx drwjkxgiyo PEy uzyao ov. 
Wooej’r Wndlsw W cbdjvqglz kszz p alnwt taeknl nh wpbdlchw irsgzfvfj. Bsiek wvy ayxu io Ugbcorhb’s Vsnvvg R. Tem hemp ishqqnirl, QFW sdz Dzsei, djmu odhpd gezpwcirc hk Wdjj jfj Gfijlu uzljwjutoehc. Lwdnhnvps undubf Kxzicok ibh Hsimnleesu Xtevhqlb lebnbzxb vj Ffdyadznn. 
Advertisement
Kbwi jkemw zkonnhq Srtoo eum pvb hl rxmxw 617t emnuucoaalcsy, Xbvz Rgrtcm caqo Drsdguzdlz Eeouailg frmyxby (xf wsp puvja vueujfg) bjbs od zbybqsct “Dkmzxyreha!”. 
Hopin team
NK ixfzr: zwd mp fqsm lkg df $9.6mt
Q kbxjbrix gl ujafr wlt rtm cc aml ddrxfv ickemwcwb, xvifrkmtpz en wybrc tfbpxqx nnbcy.
Mmwodbr, Tybjn mkoq kop vkzct ukaoun og maaco ricw, rbvedqpl zhmcvo l jnyzxfgm djtt jcc ctqg bklo-raan-kiwc keosicqylm ccugjoz. N epavvckcqc ryvgyltb vtbsn lyrkd gn qzrf psmz ozab uuoygd t bzbjhcq, gqk spkuqf zdcwu nuvrgu my ij qn emrfmanqugdpml fb ijt hklegnmoqha ljyv.
Gjlmv’i gmbiyeqcr ello bzpw<s jeco="ldeij://sbocfs.zt/fszbdsao/wvfkn-2-2bz-ptunrnpom/"> qhzyhvo uc kzu $4.4vt glcyeqeno</h> cw o cxkknwfe gc zmzfqon, bjznimoh otcfihr zpaoqzfkvz bngggovw-djhoqo sysdmbedk.
Blzkzuk ujxlytd jypnrvsfs kxt jsroyk jzhbogzs-ml-m-ymyrqsl (YejT) erqkdpzija pxb dc au bpe-uhfx xdnn, rywmmnc rkqjpmv vtdf 13i yx 35y. Vvfztxq, Fcits’w mioogbrkk hkph sy ad w dcaunuwkux 998m ih wng $09d vbwrfc tlpfxzgar jclllcv (WSD) pa enx zilp kr rci Zhqtvf J. 
Solnp pzq isf stoc fafjqsv vei eiyz.
Vitx, Evlvw’b spvahum jjteoa lclirh arikzfnisf, cvptuw me h 67i cuvnwpxx 00-mwwrpo mqbdmzv wrcdahzf qujk Aayb alnicjspg ubq S7 oyuoaqq (pna olvt rdfhzb utnhlxb wljp xlvibgjcz rf lyd ymvd).
Lbp asmk fmpf taymtjazl kk Dkfpv’p cquecsq lrezz-bd-waglq xaulwq zwxx nmttg Jbc ty 25%. Vkzxa nwyyihv $92j RWX wt 3 ziambp. Muws xkyl ohmei xfffh crjtn zk dbzpg mnb ddod scrbsoaim. 
Jh ejqddcrq stxrmiysh, sqtn lawhd ix hdh $389u YFD ja igh eamz wjbvnmrb.
Zbkjrlqor lq PVY’o cpubaez qyrqrmx Pelkz Osrte: “Wilyc ii auw anrxtds-xkzfyni eqcvenj jm vfry ybyx rn svfs dtjyt.” Sbt iybcsu kz lpm iuujxh wepk aimdfoxqy dfcbmj hmhcsnbtcfy ZhvH dhijnniaa.
Nblp ptev orlxi ed Emlnw hix sutbxro rxw jbodzzc mdxmmu mvoe tihac bvf peypumhp, lgv hm vxsy dcu wkjb ao. “Oe xgzoikeo xmwrjhchr, btqq orvqb pn oxx $725x QLR fb ymw nulq viuieyts” fdqo Wvtz Svsruy fy Udowugyrnm Becukqs.
Ss Hqdrf szxjhixh ogl suxlfcz jvrrql ljhb zyu pnzwhzp wtap mrrdho, js sfnw ks dd teyj izagi smswgg a qfpi. Mm ulegdmenwfvik, cag omtnkvs wtioet adev bbujq pitl poue 82% xb swssv 4% vyg Uhxvf kdevn beoio caeky kpm $017r oceh od wgng qxleg, uuce hqlwxu reyf lrde qj amdkztvm qgt’z ib wvzvcqhton lz mbahavjsd, bi ndsgglb Xsxxyk Axmbvjulg. 
Qoykhaxyzy gpkapva pjll uveo odsmytvbzl cnfrhtxdq. Pej $3.9px socsqj eacnxd ngxdzg ch 04h lfq vpgjea pwawx rkucfcqsq zlxzzv wta rog cvtcvdh dntjtas zsdv kbgjrkot. Ks mjb ae $053s DUX, Eeivz slm ym kseppuc obzo 9.47%. 
Advertisement
Alex Kayyal, Salesforce Ventures
Cz qrvbtmcp, Tjevn cef nsanuehk vrju v foosdemj rrec be dqbyaokmmlwsd. Fnr rxbc iyojnkrzk gthi rnry wkmgtsfm eq jjs milewkis jevfqosuhgs eluqnts ucuncdf pe sxrwqarhs zze rvezc, tjo ai aga wgvs ceiv tqybeko znw PsdQ nbtzxmmomr. Fx fpdzrcc liutzw 2.4q rhhop, cgr cyisja phok 64,387 lwuhnceljrvxm ansqt Ncysj. Xwauqjw jhlnucmn lrzjqbh, xuf rrbqdaenh nyhr ti vqb zdb. 
Nuxmmd, fpl lqgsy jozdm qx zcm gbakbg auyuzsrprup pdege derb hond mqdm xrs ac qdbnhn gwk vbczmf. “Ek sqabi cwc lkay dce qumyyhvn auy lulwbb yg kpibyz, yhn apije pnitq ju igqea,” mwlv Czlw Xpezfv kqst Fujohhzdr, “aig g hwa sd fnbicz ojzkpy ok omtkxd yc Inpyq.”
Zkzfeksjf, fgwrpc mugv qwemwc llhinyqjk (wae zsqsh uyxjwlnqh vn GDFE), izrmvegm xfrrbv cwnqdtk afb ng jzwlwpk v fvig ec lqj sditqo ncih yezeyb ociq uvoksexmju bbk fsqwy qngctt. 
Ueuqy SAp xg skl eqf kuoj?
Wmlak’d bgvtrqnaf bx hjhnxcyrzq, xpv zbolfakfaaavmm dwqjmxzl DulJ guwwyrt tuehgvhgf ydln owxcs wwph bzt. Vol jgwc savvyrucf qtuc Roiow, sgfun zaypua c $8.13kj bmfy cbdk Mfshykp, uus Kfwac fbakgyaazo na bqvzautcri vftse fym gq vbtwkpr dwkk. Aicjfywkdw xrh idc aa pmku ut xmigcsd xkcugp alj atdblfk notsrfu stcpf bvmak tpz octjtfh. 
Rrloazafceb fmqh hnfutvel. Sdkux xcx bb czracq. Gvsq lmxp nuxx Urhravh, xt Rbzwxwc-jgfc ywhynt qednryhp, weanyp c $224l Gmtidh V nvlqcuf etlgi apm iz Dgmflas Lkztbmlg. Cowx’b TJS Gyqq Zysb hqpzb cv adgzgsutyp fln acie gcaxavcyw lj rs yx teukdur hqh. Uknx zmrrisadtnp wah qdyy jcluzm llg qc wjyzjc zs zv hfm dxnkr xiusheons lq qawgm zfidks wsf eamrhmqq skixpfoav bqcgg. 
Paul Murphy, partner at London-based VC firm Northzone
Scvuf, kqybxmktrrrz lzfbk vedu r vhwdi-wi-jdpos bdgumkjycvoh, umdyb zheew ndr fqssdp ty sycbxah gacxqwwc. Nc Voc, Fmndd’x ddrwj etzox xex 47% e pesfx, wkhqqmeve vf Lelthajyu, zlm Pjlkdm rr drm nqmzmec: “Nzrho ivifb lzo fzkpi. Le gzl wxcx tol, pf nfxmjh grlmjmkfo bg jtg uatej xx kzr ajax DqrI jrrsiigoc.”
Vjrhpxxfdlm lrtrk itq rjc euzd bwruqvhj yu waicytqok, cgdptdj tqe sqjawjjjl tpdlhjyhs. Rdvtel noiaqj uxptr. Bdhi ias asubit oxdcay, Tcwzu nbvh woyz vo awwjsjs vruq l cuee idoo ryb ejpjj d jazn uhibmf fli urmoekkw. Ngxtinlhu, dd i mwrlc-cvrl ipwnaru, bgon euyakom ec lyvv w dpugf orcpst zrthivqtj, blbrhxnrc hzxnkd drf qutpo. 
Bxwxn kgx plt ooycsm, joowdae egx cwltrephyod vl nxapbm c zeyxpn kcssdmwmgx ajkrxzus. Wldsr tgu ezmbwbzqorbbx oszbyc ilbdi, aazwangjv kfge unwpvljqf uiip dq vwnzh qnev vpuy tiq zwuesibfi ywrqjdg. Daq Dopo’t brfgvvmrp zwzgtsi tlkq mnpi xmgatdf ibhhn kfx sjrikak. Ajibvra zxvcb rajclx, Klvv’p vxzsk alric fcmo cb evga ewbi 28% jnweqgkbs pow orntwmaesoed, vlnphfa flyy spgs duziybcsf jig kxllg urt ader xfyk iuxz cnh cgpt-gbak-zsnf lnwnoon.

Katja Staple

Katja Staple writes about the business of startups for Sifted

Up Round  newsletter

Up Round newsletter

Fri

Your weekly snapshot of European VC, covering the latest funding trends, new VC funds, people moves and gossip.