Stone Fox Capital
Dec. 31, 2015, 4:14 PM
- Though the Nasdaq fell 1.2%, Late-stage VC investors GSV Capital (GSVC +1.8%) and Firsthand Tech Value Fund (SVVC +5.1%) ended 2015 on a high note. The firms respectively saw 186K and 79K shares traded vs. 3-month daily averages of 118K and 28K.
- GSV still trades at a 40% discount to its estimated Q3-ending NAV of $15.72/share - a liquidity discount (due to the fact most of its assets are in private companies) could be a factor, as might the gap that has opened up between private and public valuations for growth-stage tech companies. Its top holdings at the end of Q3 were Palantir (15.6% of portfolio value), Dropbox, Twitter, Coursera, solar panel manufacturer Solexel, and payments startup PayNearMe.
- Firsthand trades at a 64% discount to an estimated Q3-ending NAV of $23.20/share. Its top holdings are medical device maker IntraOp (14.9% of net assets), chip equipment maker Pivotal Systems (12.8%), ad tech firm Turn, electronics materials startup QMAT, and electric drivetrain supplier Wrightspeed. The company also owns a ~$4M stake in converged data center infrastructure provider Nutanix, which recently filed for an IPO.
Jan. 23, 2015, 3:58 PM
- The Firsthand Technology Value Fund (SVVC -6.5%) saw 4.92M shares (57.5% of its outstanding shares) tendered through an offer to buy $20M of them at a price equal to 95% of a Dec. 31 NAV of $24.495/share; that translates to an offer price of $23.27/share, and the purchase of 859K shares.
- With the number of tendered shares well above the number Firsthand has committed to buying, the fund will acquire tendered shares on a pro rata basis.
- Firsthand currently trades 29% below its Dec. 31 NAV. GSV Capital can relate.
May 2, 2014, 11:05 AM
- Under pressure from Phil Goldstein's Bulldog Investors, Kevin Lanids' Firsthand Technology Value Fund (SVVC +10.6%) agrees to repurchase up to $10M of stock in the open market this year and to tender for at least $20M of stock at up to 95% of NAV by the end of next January.
- Bulldog agrees to withdraw its board nominees and to stop fighting to end the fund's investment management agreement.
- Previous: An Open Letter from Bulldog Investors
- Is GSV Capital (GSVC +1.5%) next? As of his January 9 letter to Firsthand, Goldstein was long that name as well.
Mar. 26, 2014, 4:04 PM
- Aided by King's poor debut and general momentum stock weakness, U.S. and Chinese Internet stocks have fallen hard for the second time this week.
- In addition to King rival Zynga and newly-minted VR headset maker Facebook, Twitter (TWTR -7.1%) is among the leading U.S. decliners. Exactly 3 months after reaching a peak of $74.73, shares have fallen below their post-IPO opening price of $45.10. They remain well above their $26 IPO price.
- Other U.S. decliners: P -5.2%. Z -6.2%. TRLA -7%. GSVC -4.8%. SVVC -4.1%.
- Many Chinese Internet stocks have also been hit hard. Sungy Mobile (GOMO -23.2%), which posted a Q4 beat and in-line guidance yesterday afternoon, is the biggest decliner. Others: QIHU -8%. WUBA -9.5%. MOBI -10.6%. QUNR -7.8%. NQ -7%. YOD -7.6%. WBAI -7.5%. SOHU -7%. ATHM -6.5%. SFUN -6.3%.
- Internet/social media ETFs: FDN, PNQI, SOCL
Dec. 30, 2013, 1:15 PM
- GSV Capital (GSVC -5.1%) and the Firsthand Technology Value Fund (SVVC -4.1%), each of which have sizable Twitter positions, aren't being spared as the microblogging leader continues to sell off.
- As SA contributors have pointed out, GSV and Firsthand, each of which hold a number of positions in growth-stage private tech companies, trade at major discounts to NAV estimates. Illuminati Investments recently estimated GSV will have an end-of-Q4 of at least $16.96/share, and Ben Axler estimated last week Firsthand had an NAV of $31.30/share as of Dec. 26.
Nov. 7, 2013, 11:15 AM
- Were investors expecting too much? Even though Twitter opened sharply higher on IPO day (shares are now up 81% to $47.06), shareholders GSV Capital (GSVC -9.5%) and the Firsthand Technology Value Fund (SVVC -7.4%) are heading south. It's worth noting many other Internet momentum plays are also selling off.
- GSVC and (to a lesser extent) SVVC have been rallying due to Twitter IPO hopes. Twitter accounted for 15.1% of GSV's net asset value at the end of Q2; the company reports after the close.
Nov. 4, 2013, 9:15 AM
- Twitter's (TWTR) hike, which comes amid strong demand for its IPO and a general belief its initial price range of $17-$20 was conservative, means the company is now set to raise $1.61B-$1.75B (by selling 70M shares), and sport an IPO valuation of $12.5B-$13.6B. (S-1)
- Twitter shareholder GSV Capital (GSVC) is up 3.4% premarket on the news. The Firsthand Technology Value Fund (SVVC) might also trade higher.
Oct. 25, 2013, 11:50 AM
- Twitter (TWTR) shareholders GSV Capital (GSVC -2.3%) and the Firsthand Technology Value Fund (SVVC -4.1%) are selling off after the microblogging leader set an IPO price range that spells a valuation range of $9.3B-$10.9B, well below the $14B+ valuations that have reportedly been thrown around in private share offers.
- The fact Twitter's pricing is generally viewed as an act of caution meant to avoid a repeat of Facebook's IPO, rather than business pessimism, is probably limiting today's losses. Analyst Dan Niles: "Twitter is not going to price this thing to get every single dollar off the table ... They want to price it so the stock goes up on the first day, at least."
- Meanwhile, the NYT and CNBC both report Twitter plans to price its IPO on Wednesday, Nov. 6, which means shares would begin trading on Nov. 7. The WSJ previously reported Twitter was looking to price around Nov. 6.
Sep. 12, 2013, 11:13 PM
- "A source close to the company" tells CNNMoney's Dan Primack Twitter will provide a public S-1 "within the next several weeks," and that the company expects to launch an IPO road show 21 days after the S-1 is filed. If true, that sets the stage for an IPO to happen this year rather than next.
- Primack: "Twitter didn't say that it filed confidentially today ... My understanding is that the original filing was submitted a while ago, and that most of the SEC review is completed."
- GSV Capital (GSVC) finished AH trading up 16.8% in response to news of Twitter's confidential filing, and a report it's now being privately valued at ~$14B. The Firsthand Technology Value Fund (SVVC), whose Twitter stake was valued at $23M (10.4% of the fund's gross assets) as of Aug. 31, closed up 8.8%.
Aug. 17, 2012, 11:52 AMFacebook (FB -2.9%) sells off yet again - shares are down 9% since the company saw its first lockup expire yesterday, and 49% from IPO levels. The potential impact of the decline on employee morale and retention hasn't been lost on Mark Zuckerberg, who reportedly acknowledged the issue at a company meeting this month. According to SecondMarket's data, anyone who has bought Facebook since Nov. 2010 is now underwater. | Aug. 17, 2012, 11:52 AM | 8 Comments
May 29, 2012, 10:56 AM
In spite of today's rally, Facebook (FB -5.6%) is falling to new post-IPO lows in early trading, and is once more taking related names down with it. ZNGA -3.9%. SVVC -1.6%. GSVC -2.3%. Investor unease with Facebook's reported plans to become a smartphone vendor could be playing a role, but the company's still-high valuation is a more likely culprit.| May 29, 2012, 10:56 AM | 13 Comments
May 21, 2012, 9:54 AMFacebook (FB -13.2%) tumbles in early trading to $33.20; even after the selloff, the company trades at nearly 23x sales and 75x trailing EPS. Not helping is BTIG's decision to launch coverage at Neutral; in-line with earlier comments, the firm is worried about Facebook's valuation, decelerating growth, and ad monetization issues. Also lower: RENN -8.3%. ZNGA -7.1%. YELP -6.8%. LNKD -6.1%. GRPN -4.8%. SVVC -7.4%. GSVC -10%. | May 21, 2012, 9:54 AM | 16 Comments
May 18, 2012, 11:47 AMFacebook's (FB +3%) weaker-than-expected debut is leading to a massive selloff in Facebook-related plays, and (to a lesser extent) Internet stocks in general. ZNGA -13.3%. RENN -9.4%. GSVC -12.4%. SVVC -18.6%. P -6%. GRPN -4.9%. YELP -4.4%. QPSA -5.1%. Facebook is now changing hands at $39.12. | May 18, 2012, 11:47 AM | 14 Comments
May 18, 2012, 11:18 AMIndications that Facebook (FB) will open in the low-to-mid $40s, below the expectations of some, have contributed to a selloff in the NASDAQ, which is now trading near breakeven. Facebook-related plays are also moving lower. GSVC -3.8%. SVVC -9.3%. ZNGA -2.4%. RENN -7.4%. Trading has been delayed, but is expected to begin in minutes. | May 18, 2012, 11:18 AM | 3 Comments
May 18, 2012, 10:31 AMGSV Capital (GSVC -1.2%) and the Firsthand Technology Value Fund (SVVC -3.1%), each of which have invested in Facebook ahead of its IPO, are trading lower ahead of Facebook's 11 A.M. ET open. GSVC is now down 11% on the week. Is this a sign investors are fretting about Facebook's post-IPO performance, or just that speculators are choosing to play it safe and cash out? | May 18, 2012, 10:31 AM
May 15, 2012, 9:47 AM
GSV Capital (GSVC +6.5%) and the Firsthand Technology Value Fund (SVVC +3.9%), each of which have taken out sizable Facebook (FB) positions, are adding to yesterday's gains after the social networking giant raised its IPO price range to $34-$38. Zynga (ZNGA +5.9%), which derives most of its revenue from Facebook, is also rallying. Also higher: QPSA +5.4%. RENN +8.8%.| May 15, 2012, 9:47 AM