NEW YORK: Andreessen Horowitz and Thrive Capital are poised for a multibillion-dollar windfall from their early investments in Cursor if Elon Musk’s SpaceX moves forward with an agreement to acquire the artificial intelligence coding startup for US$60bil.
Andreessen Horowitz is the largest outside shareholder in the startup, with a roughly 10% stake that would be worth about US$6bil at the estimated transaction price, according to sources.
The venture firm backed Cursor multiple times, including leading the startup’s Series A funding round at a US$400mil valuation and co-leading a follow-up financing at a US$2.5bil valuation.
Furthermore, Thrive is the second-largest outside shareholder, with a roughly 7% stake in the company, said one of the sources.
That stake would be worth about US$4.2bil, adding to its potential gains from SpaceX as an early investor in the rocket maker. — Bloomberg
