Emptying out the notebook after a short week...

🎓 Math class: Harvard University yesterday reported its largest operating loss in 14 years, and its first since fiscal 2020, due in part to federal funding cuts.

• What that figure doesn't include, however, is endowment performance.

Harvard's endowment, the country's largest, generated an 11.9% return for the year ending June 30, up from 9.6% the prior year, bringing its value to $56.9 billion.

• Its largest asset class continues to be private equity, which now comprises a whopping 41% of the total (up from 39% last year). Within that figure, 24% is venture and venture growth, while 17% is buyout and growth buyout.
• Harvard also acknowledged that it's engaged in some private equity secondary sales, but says that such deals "are not signs of constraint or liquidity concerns but rather of intentional, disciplined portfolio management."

Over 80% of the endowment's funds are restricted, but it contributed $2.5 billion to support the school's operations. That's a significant increase in both dollars and percentage from the prior year.

• The school also warns that future endowment results will be negatively impacted by a new excise tax that goes into effect for fiscal 2027.

🇨🇳 TikTok HicCup: President Trump this week said that the U.S. now is in a trade war with China, with rare earths as the latest flashpoint.

• This doesn't yet seem to be causing problems for the TikTok U.S. deal, which needn't close until mid-January, but that may change if tensions don't deescalate.
• As of now, Trump and China's Xi Jinping still are scheduled to meet later this month in South Korea.

🎮 Speaking of giant deals involving Silver Lake: Electronic Arts, which is going private in the largest LBO of all time, yesterday announced that it sold more than seven million copies of its latest Battlefield game in the first three days of release, a franchise record.

• That's got to be a big confidence boost for the buyers, given that some deal critics have argued that EA's audience has grown bored.
• Also worth noting that the deal's $20 billion debt load, initially committed by JPMorgan, is likely to be split by up to a dozen banks, per Bloomberg.

😱 One to watch: Jefferies shares plunged 10.6% yesterday, on growing investor fears that a bunch of bad loans are about to reveal themselves.

• A couple regional bank stocks also took a tumble, as did big private lenders like Apollo and Blue Owl.
• "When you see one cockroach, there are probably more," JPMorgan CEO Jamie Dimon said earlier this week on an earnings call.
• The markets aren't yet at a code-red. More just rising fears driven by a pair of auto industry bankruptcies and years of loose lending standards. But, as SVB showed us in March 2023, contagion can come at you quick.

🎤 Live from New York: Remember to register for Axios BFD, taking place on Nov. 18 in NYC. Top execs from Coatue, Sequoia Capital, Polymarket, and more.

Deel, a San Francisco-based payroll and HR platform, raised $300 million at a $17.3 billion post-money valuation led by new investor Ribbit Capital and insiders a16z and Coatue.

Why it's the BFD: Five months ago we learned that the nasty litigation between Deel and rival Rippling hadn't scared off investors in Rippling, which added $450 million at a $16.8 billion valuation.

• Now we know that the same is true of Deel's investors.

Cap table: Other return backers included General Catalyst and Green Bay Ventures.

The bottom line: Rippling's lawsuit in California against Deel, and Deel's countersuit in Delaware, both remain pending without trial dates.

🚑 Veradermics, a New Haven, Conn.-based hair-loss biotech, raised $150m in Series C funding. SR One led, joined by Viking Global, Marshall Wace, Invus, Columbia Threadneedle, Infinitium, and LifeSci Venture Partners. axios.link/3KWRyle

• General Intuition, an AI lab using gaming content for training, raised $133.7m in seed funding led by Khosla Ventures and General Catalyst. axios.link/47qW7Ns

🚑 Peptilogics, a Pittsburgh-based developer of treatments for medical device infections, raised a $78m Series B2. Presight Capital, Thiel Bio and Founders Fund led, joined by AMR Action Fund, Narya Capital, and Beyond Ventures. axios.link/43pFVto

🚑 Step Pharma, a French cancer therapy biotech, raised a €38m Series C. V-Bio Ventures led, joined by Pontifax, Bpifrance, Kurma Partners, Hadean Ventures, Sunstone Life Science Ventures and Inserm Transfert Initiative. axios.link/4n8AOoq

🚑 Liberate Bio, a Boston-based lipid nanoparticle startup, raised a $31m seed round from Khosla Ventures. axios.link/47tfohh

🚑 ExaCare AI, a New York-based provider of operations automation solutions for post-acute care facilities, raised $30m in Series A funding. Insight Partners led, joined by Foundation Capital and Bienville Capital. axios.link/3IRxvUR

🚑 BridGene Biosciences, a San Jose, Calif-based oncology and autoimmune disease biotech, raised $28m in Series B+ funding. Bayland Capital led, joined by GTJA Investment Group, Proxima Ventures, Lapam Capital and Grains Valley Venture Capital. axios.link/3WLPrDm

• OneLayer, an Israel-based zero trust security startup, closed a $28m Series A. Maor Investments led, with participation from McRock Capital, Chevron Technology Ventures, Viola Ventures, Grove Ventures and Koch Disruptive Technologies. axios.link/3W62RKp

🚑 Counsel Health, a New York-based clinical chatbot, raised $25m in Series A funding co-led by a16z and GV. Insiders Asymmetric, Floodgate, and Pear VC participated. axios.link/4nNFHoa

🚑 Omnix Medical, an Israel-based infection treatment biotech, raised a $25m Series C. Harel Insurance & Finance and the EIC Fund led, joined by Entree Capital, Tal Ventures, Xenia Ventures, Oriella Limited, Prevail Partners and OurCrowd. axios.link/42INo6E

🚑 Bexorg, a New Haven, Conn.-based human brain experiment biotech, raised a $23m Series A. Engine Ventures led, joined by Connecticut Innovations, E1 Ventures, Amplify Partners and Starbloom Capital. axios.link/3KUJzVQ

• nPlan, a Houston-based provider of capital project delivery solutions, raised $16m in Series B funding. CapHorn led, joined by GV, Pentech Ventures, LocalGlobe, Chevron Technology Ventures, and Suffolk Technologies. nplan.io

⚡ Daylight Energy, a distributed energy resources startup, raised $15m from Framework Ventures, a16z crypto, Lerer Hippeau, M13, Room40 Ventures, EV3, Crucible Capital, Coinbase Ventures, and Not Boring Capital and $60m in project development capital led by Turtle Hill Capital. axios.link/48zoBpj

• Strella, a New York-based customer research platform, raised $14m in Series A funding led by Bessemer Venture Partners led, joined by Decibel Partners, Bain Future Backed Ventures, MVP Ventures, and 645 Ventures. axios.link/43oGWSt

• Armstrong, an SF-based developer of robots for restaurant kitchens, raised $12m from Lerer Hippeau, Bloomberg Beta, Next Play Ventures, Transmedia Capital, and WestWave Capital. axios.link/4hbcMrw

• Dialogue, a market research platform, raised $6m in seed funding. Lightspeed led, joined by Seven Stars, Uncommon Projects, the Tornante Co. dialogueai.com

• Triplemoon, an Austin-based pediatric mental health startup, raised $3.5m in seed funding led by LiveOak Ventures and Activate Venture Partners. axios.link/48trfNn

🚑 Graph AI, an SF-based regulatory safety monitoring company, raised $3m in seed funding led by Bessemer Venture Partners. axios.link/42IqtIF

🚑 Every Health, a virtual health clinic focused on the LGBTQ+ community, raised $1.3m in seed funding led by Czech Founders. every.health/en

• Advent International and CVC Capital Partners both have been approached about buying the British wealth arm of Canada's Canaccord Genuity (TSX: FX), per Reuters. axios.link/4o0q6li

• Bonterra, an Apax Partners portfolio company acquired OneCause, a Carmel, Ind.-based provider of digital fundraising software for nonprofits. OneCause had raised around $16m from MK Capital, Wintrust Ventures, Collina Ventures, and Allos Ventures. axios.link/46Wlree

• Codis, a St. Louis-based commercial spray drying company, raised funding from 1315 Capital, BroadOak Capital Partners and Research Corporation Technologies. axios.link/46XxBDD

• Ease Logistics, a Dublin, Ohio-based freight management firm, raised funding from The O.H.I.O. Fund. easelogistics.com

• F2 Strategy, a Renovus Capital portfolio company, acquired HBMJ Consulting, a New York-based consultancy for alt investment firms. axios.link/4nkly8o

• EDGE Industrial Technologies, backed by Falfurrias Management Partners, acquired Carbonomics, a British manufacturer of machine knives. axios.link/47bV8PM

• LFM Capital acquired Vintage Air, a San Antonio-based maker of AC systems for classic cars and trucks. axios.link/4992Mgz

• Promus Equity Partners acquired Dr. Comfort, a Mequon, Wis.-based maker of therapeutic footwear, from Enovis (NYSE: ENOV) for up to $60m. axios.link/4ombIn0

• Reynolda Equity Partners acquired North American Lawn and Landscape, a commercial landscaper in the Carolinas and Georgia. nalandscape.com

• Aeon Acquisition I, a pro sports SPAC formed by The Aeon Group and Octagon Basketball Europe, filed for a $250m IPO. axios.link/3KXQoG8

• Exzeo Group, an insurance underwriting and analytics platform being carved out of HCI Group (NYSE: HCI), set IPO terms to 8m shares at $20-$22. It would have a $1.9b market cap, were it to price in the middle, and plans to list on the NYSE (XZO). axios.link/4qjIIOW

• SC II Acquisition, a SPAC led by Nukkleus CEO Menachem Shalom, filed for a $150m IPO. axios.link/4ooGprO

• Lennox International (NYSE: LII) acquired the HCAC unit of Sentinel Capital Partners portfolio company NSI Industries. axios.link/3IMJLpG

• Ripple agreed to buy GTreasury, a provider of treasury software for CFOs, from Hg and Mainsail Partners for over $1b. axios.link/3J34VzS

• BBVA (M: BBVA) failed in its €17b hostile takeover bid for Banco Sabadell (Madrid: SAB). axios.link/4n86F8Y

• Molex, owned by Koch Industries, agreed to buy electric components maker Smiths Interconnect from Smiths Group (LSE: SMIN) for £1.3b. axios.link/4hgbw6t

• Vienna Insurance Group agreed to buy German insurer Nuernberger for €1.38b in cash. axios.link/43pN5hf

• Asymmetric Capital Partners raised $137m for its second VC fund. axios.link/3W7aUqi

• Elliott Investment Management is raising up to $7b in new capital, per Bloomberg. axios.link/3IPS3Nz

• K1 Investment Management raised $160m led by SQ Capital for a single-asset continuation fund for TeamDynamix. axios.link/3W9JEaE

⚡ Sara Graziano joined ArcLight as a partner. She previously was a partner and CIO at SER Capital Partners. axios.link/4oq0Kx3

It's not just U.S. IPO activity that's on the rise.

• Chinese IPOs are up 88% year-over-year, totaling $16.9 billion so far in 2025, per LSEG.
• U.S. IPO proceeds are at around $32 billion this year, up 16% from 2024 YTD, per Renaissance Capital.
• Both remain far below their post-pandemic peaks.