VC deal flow, October 26–November 1: $1.64B, and Kalshi is $1B of it
Thirteen rounds naming a16z, Sequoia Capital, Founders Fund or Y Combinator added up to $1.64 billion this week, Kalshi's $1 billion took 61% of it, and two a16z portfolio companies were sold.
Thirteen rounds announced between October 26 and November 1, 2026 name at least one of Andreessen Horowitz, Sequoia Capital, Founders Fund or Y Combinator. Every one disclosed an amount. Together they add to at least $1.64 billion.
One round is 61% of that. Kalshi's $1 billion Series G leaves the other twelve averaging $53 million each.
Sequoia Capital appears in four of the thirteen, worth $1.32 billion. Andreessen Horowitz appears in four, worth $1.14 billion. Y Combinator appears in seven, worth $282 million. Founders Fund appears in none.
Andreessen Horowitz also had the exits. Guidewire agreed to buy Hyperexponential, an a16z-backed insurance software company, for $1.7 billion. Salesforce agreed to buy Rune Technologies, also on a16z's book, for a reported $375 million.
Confirmed top-four deals
| Sector | Company | Round and terms | Tracked-firm role | What the company does |
|---|---|---|---|---|
| Prediction markets | Kalshi | $1B Series G, announced October 29; $40B post-money valuation | Sequoia Capital: co-lead with Wellington Management; Andreessen Horowitz: participating | A regulated exchange for event contracts on sports, politics, economics, crypto and commodities. 1 |
| Enterprise software | Serval | $150M Series C, announced October 29; $3B valuation | Sequoia Capital: lead | AI agents that field and resolve employee requests across IT, HR, finance, security and legal. 2 |
| Industrial AI | Tractian | $130M Series D, announced October 26; $1.4B valuation | Y Combinator: participating; Sapphire Ventures led | Vibration and ultrasound sensors plus models that diagnose failing factory and utility machinery. 3 |
| Data analytics | Hex Technologies | $100M, announced October 27; $1.2B post-money valuation | Andreessen Horowitz: participating; Sequoia Capital: participating; Peak XV Partners led | A shared workspace for SQL, Python and AI-assisted analysis inside a company's data warehouse. 4 |
| Wealth management software | Nevis | $70M Series B, announced October 26; valuation undisclosed | Sequoia Capital: participating; EQT Ventures led | An operating system for registered investment advisers that pulls CRM, meetings and custodial work into one place. 5 |
| Home services AI | Broccoli | $52M across a Series A and a Series B, announced October 28; valuation undisclosed | Y Combinator: participating; Khosla Ventures led | Answering calls, booking jobs and chasing estimates for HVAC, plumbing and roofing contractors. 6 |
| Security infrastructure | Infisical | $40M Series B, announced October 27; $600M valuation | Y Combinator: participating; Elad Gil led | Secrets management and credential vaults that let software and AI agents reach systems without holding keys. 7 |
| Experience commerce | Easol | $30M Series A extension, announced October 28: $20M equity and a $10M debt facility | Y Combinator: co-led the equity portion with Tiger Global, Foundation Capital, FMZ Ventures, Notion Capital and Eight Roads | Booking, payments and marketing software for festivals, retreats and adventure operators. 8 |
| Health system finance | Midstream Health | $20M Series A, announced October 29; valuation undisclosed | Andreessen Horowitz: participating; Valtruis led | AI agents that hunt margin leakage across a hospital system's contracts, purchasing and pharmacy data. 9 |
| Construction design | Dream | $17M seed, announced October 29; valuation undisclosed | Andreessen Horowitz: lead | World models that generate building designs grounded in physics, materials and permit data. 10 |
| Trust administration | Sava | $10M, announced October 28; valuation undisclosed | Y Combinator: participating; Gradient Ventures led | A Nevada-chartered trust company plus software for creating and administering family trusts. 11 |
| Pulmonary care | Kivo Health | $10M Series A, announced October 26; valuation undisclosed | Y Combinator: participating; Allumia Ventures led | A nine-week virtual rehabilitation program that pairs COPD patients with respiratory therapists. 12 |
| Industrial controls | Neuron Industries | $10M seed, announced October 30; valuation undisclosed | Y Combinator: participating; FCVC and Obvious Ventures co-led | An AI-native industrial controller that an engineer sets up by describing what the machine should do. 13 |
Prediction markets become an exchange
Kalshi: $1 billion, and the venture firms are the junior partners
Kalshi raised a $1 billion Series G at a $40 billion post-money valuation, co-led by Wellington Management and Sequoia Capital. The company announced it on October 29. 1
The price has moved fast. Kalshi closed its previous round in May at $22 billion, and a year ago it was worth $5 billion. 14
A prediction market is an exchange where a contract pays a fixed amount if an event happens and nothing if it does not. The contract's price reads as the market's probability for that event.
The investor list says more about this round than the valuation does. Baillie Gifford, Stripes, Morgan Stanley Investment Management, CapitalG, Hudson River Trading and Balyasny Asset Management all joined. 1
Those are asset managers and trading firms buying into an exchange, alongside Coatue, Andreessen Horowitz and Sequoia Global Equities. Trading firms and asset managers do not usually take equity in a startup at Series G.
The disclosed operating numbers are the argument for $40 billion. Annualized trading volume is above $1 trillion, the platform has more than 30 million accounts, and it handles over 75% of prediction-market volume. 1
Non-sports annualized revenue passed $1 billion. Commodities went from launch to more than $100 million in annualized trading fees in three months, crypto volume reached $140 billion annualized, and perpetual futures reached $83 billion in trading volume with 500,000 traders. 1
Institutions are the growth story the round is priced on. About 500 entities traded on Kalshi in September, and excluding market makers they were roughly 25% of total volume. 1
The money funds a wider exchange than the one that exists today: leveraged event contracts, perpetual futures on single stocks, and markets on the price of computing power. Kalshi also plans institutional sales headcount and expansion in Latin America and Europe. 1
One legal question sits under all of it. Two federal appeals courts ruled in August and September that states may regulate sports-related event contracts. A third ruled the other way, and a Supreme Court case will probably settle the split. 14
Sports is what built the liquidity the rest of the exchange now runs on. The state-versus-federal question is therefore a question about the $40 billion itself.
For a limited partner, the useful comparison is the entry price. Sequoia co-led at $40 billion; five months earlier the same company was priced at $22 billion.
Enterprise software and infrastructure
Serval: $150 million, and Sequoia had written about the founder first
Serval raised a $150 million Series C at a $3 billion valuation, led by Sequoia Capital. Elad Gil, Evantic, First Round, General Catalyst, Redpoint, Conviction and Headline participated, bringing the total to $277 million. 2
The product is enterprise service management, the category ServiceNow built. Serval's agents take employee requests across IT, HR, finance, security and legal and resolve them inside one governed system. Fox, WPP, Live Nation, Notion, Ramp and Lucid Motors are customers. 2
Chief executive Jake Stauch and chief technology officer Alex McLeod run the company. Sequoia published a profile of Stauch on October 6, three weeks before the round. 15
The money pays for three things: a professional services arm called ProServal, more than 100 automation engineers inside it, and offices in New York, London and Austin. 2
Hex: $100 million, and the one round where both tracked firms appear
Hex Technologies raised $100 million at a $1.2 billion post-money valuation, led by Peak XV Partners. Amplify Partners, Andreessen Horowitz and Sequoia Capital all took part as existing investors. 4
The platform mixes SQL, Python, R and visual workflows with an AI assistant, and connects natively to Snowflake, Databricks, BigQuery and Redshift. Co-founder and chief executive Barry McCardel leads it. 4
Infisical: $40 million for the credentials AI agents need
Infisical raised a $40 million Series B at a $600 million valuation, led by Elad Gil, with Gradient and Y Combinator participating. 7
The company manages credentials, access and certificates for developers and machines. Agent Vault lets a company give an AI agent access to a system without handing over the underlying password. 7
It serves 1,300 customers and 300,000 developers and secures 10 billion secrets a day. Airbus, Volkswagen, Hugging Face, OpenRouter, Wise and Clay are named. 7
Money, wealth and family administration
Nevis: $70 million, with a custodian on the cap table
Nevis raised a $70 million Series B led by EQT Ventures, with Charles Schwab Corporation, QuantumLight, Sequoia Capital, ICONIQ and Ribbit Capital participating. Total funding is $110 million. 5
The New York company sells an operating system to registered investment advisers, joining CRM, meeting notes, financial planning and custodial workflows. Chief executive Mark Swan leads it. 5
Schwab's presence is the part worth noticing. A custodian is putting money into the software layer that sits between advisers and the custodian's own accounts. Sequoia wrote about the company in December 2025. 16
Sava: $10 million for the trustee as well as the software
Sava raised $10 million led by Gradient Ventures, with Y Combinator, SV Angel, Max Mullen, Orange Collective, SurgePoint Capital, Tomer London and Eleonora Sharef participating. 11
The New York company runs both sides of trust administration: software for estate attorneys and advisers, and a subsidiary called Sava Trust Company, an independent corporate fiduciary chartered in Nevada. Chief executive Nimit Maru co-founded it. 11
Physical industry
Tractian: $130 million for machines that announce their own failures
Tractian raised a $130 million Series D at a $1.4 billion valuation, led by Sapphire Ventures and co-led by M&G's Catalyst. N47, General Catalyst, Bosch Ventures, 53 Stations, Monashees, Endeavor Catalyst, Norte Ventures and Y Combinator participated. 3
The Atlanta company attaches sensors to critical machines and reads vibration and ultrasound. Its models turn those signals into a diagnosis and a recommended action. The training set is one of the larger collections of industrial failure data. 3
More than 2,000 facilities use it, across manufacturing, data centers, defense and utilities. Founder and chief executive Igor Marinelli leads the company. 3
Dream: $17 million to design a building from scratch
Dream came out of stealth with a $17 million seed led by Andreessen Horowitz, alongside SV Angel, XYZ and Zigg Capital. 10
Founders Andy Elder and Arjun Mathur were Stanford roommates and spent a decade at Palantir. Their product is a world model of the built environment, trained on more than 100 million square feet of building data taken from US permit archives. 10
It generates designs that account for plumbing, HVAC and load, then estimates what the building costs. Ten projects in Texas and California are using it. The target is the drafting software architects still draw every part in. 10
Neuron Industries: $10 million to program a factory in plain English
Neuron Industries raised a $10 million seed co-led by FCVC and Obvious Ventures, with Y Combinator, Thin Line Capital, Zee Prime Capital and Founder Factor participating. 13
The Gardena, California company builds an industrial controller called Cortex and a development environment called Synapse. An engineer describes what a machine should do in plain English and gets control code back. Cortex ships in the first quarter of 2027. 13
Chief executive Dennis Ren and chief technology officer Kenneth Rhee lead it. Customers include CureWood, Rise Reforming, Radify Metals, Lazarus Energy and Nox Metals. 13
Health
Midstream Health: $20 million to find the money hospitals lose
Midstream Health raised a $20 million Series A led by Valtruis, with Andreessen Horowitz, Foundry and CommonSpirit Ventures participating. Total funding is $29.2 million. 9
The San Francisco company joins contract, claims, purchasing, pharmacy and payment data, then sets agents to find and stop margin leakage. Its customers are health systems: Fairview, Keck Medicine of USC, CommonSpirit, Mount Sinai and Houston Methodist. 9
Chief executive Sumit Kadakia leads it. The customer network it is selling into represents more than $100 billion in annual operating expenses and more than 250 hospitals. 9
Kivo Health: $10 million for a nine-week course of breathing therapy
Kivo Health raised a $10 million Series A led by Allumia Ventures, with Y Combinator, MassMutual Ventures, Liquid 2 Ventures and the UCSF Rosenman Institute participating. 12
The San Francisco company runs a nine-week virtual pulmonary rehabilitation program for people with chronic obstructive pulmonary disease, pairing each patient with a licensed respiratory therapist. 12
The money goes toward Medicare Advantage and commercial health plan contracts, and toward outcome data that would justify reimbursement. Chief executive Victor Sadauskas leads it. 12
Small business and commerce software
Broccoli: $52 million for the trades
Broccoli raised $52 million across a Series A and a Series B, both led by Khosla Ventures, with Y Combinator and Operator Partners participating. 6
The San Francisco company sells AI that answers the phone, books the appointment and follows up on the estimate for HVAC, plumbing, electrical and roofing firms. Co-founder and chief executive AJ Jain leads it with co-founder and chief technology officer Adi Ketkar. 6
It reports 1,500 businesses, more than 10 million customer conversations and 2.5 million appointments booked. 6
Easol: $30 million for festivals that sell their own tickets
Easol raised a $30 million Series A extension, made up of $20 million in equity and a $10 million debt facility from Viola Credit. The equity portion was led by Y Combinator, Tiger Global, Foundation Capital, FMZ Ventures, Notion Capital and Eight Roads. 8
The London company gives experience businesses one system for bookings, payments, marketing, support and guest data, with AI agents running sales and support inside it. Coachella, Stagecoach, Defected and Afronation are customers. 8
Chief executive Ben Simpson co-founded it with Lisa Simpson. Total funding is $60 million. 8
Exit watch
Guidewire buys Hyperexponential for $1.7 billion
Guidewire agreed on October 27 to acquire Hyperexponential, a London underwriting software company, for $1.7 billion in cash. A further $400 million is reserved if revenue targets are met, taking the deal to about $2 billion. 1718
Hyperexponential was backed by Andreessen Horowitz and Battery Ventures. It was founded in 2017 and had raised nearly $90 million, so the price is a large multiple on invested capital. 17
Nearly 600 insurers in 40 countries use its underwriting software, which prices and analyzes risk with AI agents. The deal is expected to close next year. 17
Salesforce buys Rune Technologies for a reported $375 million
Salesforce agreed to acquire Rune Technologies, which builds AI software for military logistics, for $375 million in cash and stock. Resilience Media reported the price on October 30. 19
Rune has raised $30 million since 2024 from Andreessen Horowitz, Point72 Ventures and IQT, the venture firm formerly known as In-Q-Tel. PitchBook puts its last valuation at $127 million, set in a Series A led by Human Capital. 19
That makes three exits from one firm in three weeks. Intuit agreed to buy the a16z-backed Sequence in the week of October 12, and these two followed, both inside this window.
Anthropic's S-1 shows where the paper money actually sits
Anthropic's prospectus went public this month, and one line in it matters for anyone marking these stakes. None of its venture investors holds 5% of the company, the threshold for the principal stockholders' table. Sequoia is among the firms expecting billions. 20
The size of Anthropic is the reason. At a $965 billion private valuation a 1% stake is worth almost $10 billion, so even a $14 billion position is about 1.5% of the company. 20
Amazon holds convertible notes with $6.2 billion of principal and valued them at $97.9 billion at the end of June. It has invested about $18 billion in total. 20
This digest covered the draft prospectus in the October 19–25 issue and Sequoia's $65 billion round in the May 28–June 1 issue. The S-1 adds the answer to the question those issues left open: at the top of the valuation range, the venture stake is small in percentage terms and enormous in dollars.
Labeled non-top-tier context
| Sector | Company | Disclosed transaction | Lead or key investors | Why it is here |
|---|---|---|---|---|
| Manufacturing | Re:Build Manufacturing | $2.1B | General Catalyst and JPMorganChase led | The week's largest round, with no tracked-firm participation named. 21 |
| Construction autonomy | Bedrock Robotics | $600M Series C at a $4.1B post-money valuation | CapitalG and Emergence Capital co-led | The same sector as Dream's seed, at 35 times the size. 22 |
| Biotech | Dren Bio | $350M | Juvia Group and Lightspeed Venture Partners led | The largest health round of the week. 21 |
| Battery materials | Group 14 Technologies | $169M Series D extension | Lead not named in the roundup | Announced a Spanish production plant alongside the money. 21 |
| Defense | Firehawk Aerospace | $150M Series D at a valuation above $1.4B | Advent and Rochefort led | Matches Serval's $150 million, the week's second-largest round. 21 |
| AI cloud | General Compute | $100M Series A | Blackbird and Abstract led | Inference capacity built on chips from Nvidia's rivals. 21 |
| Autonomous factories | Foundry Robotics | $100M Series A | Marlinspike led | Another physical-AI company at the same size as Hex's round. 21 |
Digest notes
- One round sets the week. Kalshi's $1 billion is 61% of the $1.64 billion total. Strip it out and the remaining twelve rounds average $53 million each.
- Sequoia Capital appears in four of the five largest rounds. Kalshi, Serval, Hex and Nevis rank first, second, fourth and fifth by disclosed size. Andreessen Horowitz shares two of those, Kalshi and Hex.
- Y Combinator's seven appearances are all participations. Five are $30 million or less, and the largest is Tractian at $130 million. Its total, $282 million, is 17% of the week.
- The week's two confirmed exits both come from one portfolio. Hyperexponential and Rune Technologies were both a16z-backed. The same firm cleared Sequence to Intuit on October 15.
- Physical AI is four companies deep this week. Tractian sells to factories and utilities, Neuron Industries to machine builders, Dream to architects, and Bedrock Robotics to construction contractors with money that carries no tracked-firm name.
- Health money went to administration. Midstream Health works on hospital contracts and purchasing; Kivo Health on reimbursement for a therapy that already exists. Both sell into the business side of care.
- Founders Fund was named in no round inside the window. Its most recent disclosed deal remains Coherence Neuro's $45 million Series A, announced October 22 and covered in the previous issue.
Coverage note
This issue covers financing announcements dated October 26 through November 1, 2026. The confirmed total counts rounds announced inside that window whose investor lists name Andreessen Horowitz, Sequoia Capital, Founders Fund or Y Combinator: thirteen rounds, all with a disclosed amount, adding to at least $1.64 billion.
Three counting decisions need stating. Kalshi and Hex are each counted once in the total and twice in the per-firm figures, because both Andreessen Horowitz and Sequoia Capital appear in both investor lists. Easol is counted at its full $30 million, the sum of $20 million of equity and a $10 million debt facility. Serval is counted at its $150 million Series C; the $277 million it has raised in total is stated separately.
The four per-firm figures add to $2.74 billion against a $1.64 billion week, because Kalshi and Hex are counted in two firms' totals each.
Three kinds of item stay outside the total and are labeled where they appear: the two acquisitions in the exit watch, because no new capital was raised inside the window; the rounds in the context table, because their investor lists name none of the four tracked firms; and Anthropic's S-1, for the same reason as the exits.
Where each number comes from: Kalshi rests on the company's own announcement and CNBC's report of October 29, with the May and prior-year valuations from CNBC. Serval, Hex, Nevis, Tractian, Broccoli, Infisical, Easol, Midstream Health, Kivo Health, Sava and Neuron Industries rest on FinSMEs reports, which carry full investor lists but are secondary. Dream rests on TechCrunch. The exit watch rests on TechCrunch, Guidewire's own release, and for Rune a price reported by Resilience Media rather than confirmed by either party.
Crunchbase News's weekly roundup, used only for the context table, covers October 24 through October 30, a period that starts two days before this digest's window and ends two days before it closes.
Flapping Airplanes is excluded from this issue. FinSMEs dates its $1 billion Series A to October 26, but TechCrunch reported the round on October 21 and the October 19–25 issue covered it.
References
- 1
- 2Serval Raises $150M in Series C Funding
finsmes.com
- 3Tractian Raises $130M in Series D Funding
finsmes.com
- 4
- 5Nevis Raises $70M in Series B Funding
finsmes.com
- 6
- 7
- 8
- 9
- 10
- 11Sava Raises $10M in Funding
finsmes.com
- 12Kivo Health Raises $10M in Series A Funding
finsmes.com
- 13
- 14
- 15Access Granted
sequoiacap.com
- 16Bringing AI to Wealth Management
sequoiacap.com
- 17Guidewire buys Hyperexponential for $1.7B in cash
techcrunch.com
- 18
- 19
- 20
- 21
- 22
This story was produced automatically by a channel. One sentence is all it takes for Neodrop to keep producing for you.