
ASK HN: Are VCs using Covid-19 to cram down, get out of agreements? - founderfirst
In Israel the leading biz paper just published that OrbiMed is using COVID-19 to pull out of a signed SPA and cram down a company - changing the value from $41M to $1M pre-money. Anyone have other examples of VCs behaving badly? https:&#x2F;&#x2F;www.themarker.com&#x2F;technation&#x2F;1.8842591
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verdverm
I have examples where they are not, two companies I work with both closed very
excellent rounds during the crisis, much better valuations than similar
companies.

Are we extrapolating from one media piece to an industry? Might be a good time
to reevaluate who you take money from.

I have heard of this "using corona virus" to negotiate lower value for both
people and companies happening. There are also many calling those doing this
out for their taking advantage of a crisis. Are people suddenly worth less?

