Cherrystone Angel Group Among Top Three Angel Groups in New England

PROVIDENCE, RI – The Angel Resource Institute at Willamette University (ARI) released the 2015 Q2 ARI HALO Report: Geography Edition naming Providence’s own Cherrystone Angel Group among the top three angel groups in New England. The ranking looked at cumulative deals funded between 2010 and 2015 and ranked Cherrystone as second, only behind Boston’s Launchpad Venture Group.

“This is a great reflection of the wonderful work we are doing here, the great companies we are funding and the active membership that we have” said Jennifer Schwall, Executive Director of Cherrystone Angel Group. Since its founding in 2004, Cherrystone has funded 24 companies through 73 transactions and invested over $18M into the New England ecosystem.

The ARI Halo Report includes aggregate analysis of investment activity by angels and angel groups, and highlights trends in round sizes, location, and industry preferences. The data is collected via survey and aggregation of public data using innovative data analyses. The 2015 Q2 ARI HALO Report: Geography Edition data is based on 4,719 deals totaling $7.5B in total rounds including co-inventors. “There has been a long term trend towards increasing round sizes and valuation in all geographies. What makes this report unique is, for the first time, we can see the difference between regions within those trends, and also relative to industry sectors.” Wiltbank said.

Highlights of the 2015 Q2 ARI HALO Report: Geography Edition included

• Seed stage valuations have risen steadily over the last five years to an all-time high of $3.95M (Median), a 30% increase over 2014.
• Round sizes in deals with only angel investors have grown from $800K in 2014 to over $1M year to date in 2015.
• All regions across the U.S. have seen increases in round size in the last 6 quarters. The largest increases in round sizes were in the Great Plains ($0.2 to $1.1M), Mid-Atlantic ($0.3M Co (NYSE:MMM) to $1.5M), and Northwest ($0.3M to $1.5M) regions.
• Over the last 5 years, California consistently completed the most investments, at 19.6% of the total, with New England (12.7%), and the Great Lakes (12.2%) following closely behind.
• Angel investing activity is equally distributed across the country when parsed either East and West or North and South at approximately 50% / 50%.
• Each region has different industry concentrations. California and New York tend toward Mobile and Internet, while Texas has completed more investments in Food & Beverage than any other region. The Great Lakes tend toward Industrial and Healthcare, while New England and the Southeast maintain a relatively balanced “portfolio” across sectors.

In conclusion, Robert J. Manning, Chairman of Cherrystone, stated “We are very pleased with the Halo Report’s recognition of the leading role Cherrystone has been playing in the New England angel funding market over the past 5 years.  Cherrystone’s diverse membership base and the wide set of skills possessed by our members has allowed us to be one of the principal “go-to” sources for early stage funding in several different sectors such as bioscience, medical devices, and technology.  We look forward to continuing our role as a key capital provider to early stage ventures in Rhode Island and S. New England.”

About Cherrystone Angel Group: Cherrystone Angel Group, founded in 2004, is Rhode Island’s first angel investment group. Its membership, which has grown to over 60 since founding, are experienced and qualified investors and have extensive experience in launching new business ventures across a wide array of industries. The Group has invested $18M in 24 companies. More information is available at www.cherrystoneangelgroup.com.

For more information, please contact Jennifer Schwall by email jschwall@cherrystoneangelgroup.com or by phone 401-519-4311

About ARI: The Angel Resource Institute at Willamette University  is a charitable organization devoted to education, mentoring, and research in the field of angel investing, a growing driver of our entrepreneurial economy. ARI was founded by the Ewing Marion Kauffman Foundation. The programs of ARI include educational workshops and seminars, research projects and reports, and information on best practices related to the earliest stages of angel investing and new-venture development.

For more information about the ARI Halo Report, please contact Katie Hamburg, (425) 330-0952 or khamburg@angelresource.org

Leave a comment