The news that electric car company Fisker Automotive could potentially be acquired by Chinese automaker Dongfeng Motor for about $425 million reminded me of an article that’s been eating at me for some time.
VentureBeat published the Top 15 venture capital deals of 2012 where Fisker was rated as the year’s “top” deal. This top rating despite the fact that Fisker has raised more than $1 billion in capital and is now likely to be sold for a fraction of that amount.
So what’s with the article? To be fair to the writer, the list is actually a compilation of the year’s largest venture capital funding events based on data provided by Pricewaterhouse Coopers and National Venture Capital Assocation. But the headline pulls no punches and proudly equates size with best. Yes, size matters but in reality, the larger a deal the less likely it is to deliver outstanding venture returns.
To read the original article: The Real Top 15 Venture Capital Deals Of 2012 | TechCrunch
