A look back on Europe's 2021

Plus: PE's mega-fund frenzy, VC on the rise in Southern Europe, our interactive mega-IPO datagraphic & more
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The Weekend Pitch
December 19, 2021
Presented by Deloitte
(Jeffrey Coolidge/Getty Images)
"It was the best of times, it was the worst of times," runs the opening line of Charles Dickens' "A Tale of Two Cities." It also provides a fitting description of the past 12 months in Europe.

As with the rest of the world, the pandemic rages on, but with a side-helping of other problems that have included an energy crisis, supply chain disruptions and a dangerous stand-off on the Russian-Ukrainian border. Here in the UK, where I'm based, we get the added bonus of dealing with the fallout of Brexit.

Despite all this, the private markets are going great guns, not just recovering from 2020's post-outbreak fallow period but also setting new records for fundraising and investments. Will it last in the new year?

I'm Andrew Woodman and this is 2021's final edition of The Weekend Pitch from PitchBook's London bureau. You can reach me at andrew.woodman@pitchbook.com or on Twitter @adwoodman. Let's get into it.
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Quote/Unquote

"Marc, Ben and Chris really took a chance on me and on crypto, and I'm ready to go out on my own."

—Katie Haun, crypto investor and former federal prosecutor, on her decision to leave Andreessen Horowitz to start a new firm.

Deal Flow

Private equity leaders stocked up with mega-funds in 2021, raising over $329 billion across 31 private vehicles of at least $5 billion.

Did you know ...

(Olga_Gavrilova/Getty Images)
… That Southern Europe's VC ecosystem is on the rise? As investors scour new corners of the world for more opportunities, countries like Italy, Spain, Portugal and even Greece are drawing the attention of founders, GPs and LPs.

The bulk of the venture investment action has centered on Spain, which this year saw deals totaling a record of €2.2 billion (nearly $2.5 billion) through the end of Q3, according to PitchBook research. Read more about the booming region in our analyst note on VC in Southern Europe.

Datapoints

Mega-IPOs have been the face of the US market for newly public companies this year. And when it came to the 20 most valuable IPOs to hit Wall Street in 2021, those debuts translated into massive stakes for a few crossover investors.

Leading the pack is SoftBank, whose exits on paper are worth $37.63 billion for its stakes in massive new stocks like Didi Global, Coupang and Full Truck Alliance.

Other big winners with mega-IPO stakes include Sequoia and Tiger Global (each with over $11 billion), NEA ($9.3 billion) and Index Ventures (roughly $8 billion).

Our interactive datagraphic has more
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This edition of The Weekend Pitch was written by Andrew Woodman, Alexander Davis and James Thorne. It was edited by Alexander Davis, Angela Sams and Sam Steele.

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Your Weekend Briefing

Omicron, E-Sports, Christmas

December 19, 2021

Welcome to the Weekend Briefing. We're covering a new spike in coronavirus cases, a Times investigation into U.S. airstrikes and last-minute gift ideas.

Lines for Covid-19 testing have circled the block in New York City as cases spike.Desiree Rios for The New York Times

1. Just days before Christmas, the U.S. is being hit by a fourth wave of coronavirus infections.

More than 125,000 Americans, on average, are testing positive every day as the country confronts the highly contagious Omicron variant. Hospitalizations have increased nearly 20 percent in two weeks, taxing already exhausted health care workers. President Biden will address the nation on Tuesday.

Experts are urging adults to get vaccinated and boosted. Studies indicate that vaccines, and especially boosters, may offer protection against severe Covid-19. Yet among vaccinated Americans, only 30 percent have received a third dose.

The Omicron-fueled spike is swamping the nation's testing capacity. As the variant spreads, regular home testing can lower risk and ease worry. Here's how to use home tests (once you find them) and what to do if you test positive.

The Labor Department pushed its deadline for large companies to mandate vaccines to Feb. 9. See where U.S. employees are affected by the requirements.

Filling out paperwork to receive the Sputnik vaccine in Moscow in July.Sergey Ponomarev for The New York Times

2. Most of the world's vaccines provide almost no defense against infection from Omicron, studies show.

All vaccines still seem to provide a significant degree of protection against serious illness from Omicron, which is the most crucial goal. But only the Pfizer and Moderna shots, when reinforced with a booster, appear to have success at stopping infections, and these vaccines are unavailable in most of the world.

The other shots — including AstraZeneca, Johnson & Johnson and vaccines made in China and Russia — do little to nothing to stop the spread of Omicron, early research shows. The gap could have a profound impact on the course of the pandemic.

Nations across Europe are tightening restrictions to prevent the spread from Omicron. The Netherlands became the first European country to announce a full lockdown to fight the variant. France is tightening rules for the unvaccinated. London declared a "major incident" — or emergency — for the first time since January.

A relative looked at the damage after a U.S. drone strike killed 10 civilians in Kabul, Afghanistan, in August.Jim Huylebroek for The New York Times

3. A five-year Times investigation found that the U.S. air wars in Iraq, Syria and Afghanistan led to thousands of civilian deaths.

Hidden Pentagon records show a pattern of failures in U.S. airstrikes — a sharp contrast to the American government's image of war waged by all-seeing drones and precision bombs.

The military's own confidential assessments of over 1,300 reports of civilian casualties since 2014, obtained by The Times, lays bare how the air war has been marked by deeply flawed intelligence, rushed and often imprecise targeting and the deaths of thousands of civilians, many of them children. None of these failures resulted in a finding of wrongdoing. We are making these Pentagon records public.

This is the first of a two-part investigation. Here are the key takeaways.

In a moment of unity, lawmakers held a vigil honoring the 800,000 Americans who have died from Covid.Tom Brenner for The New York Times

4. Congress ended its session with divisions as bitter as ever.

President Biden and Democrats can point to some major successes in 2021, including a $1.9 trillion pandemic aid plan with a $300-per-child income support that slashed poverty rates; a $1.2 trillion bipartisan infrastructure law that had eluded the two previous presidents; the confirmation of 40 judges in Biden's first year, the most of any president since Ronald Reagan; and a House inquiry into the Jan. 6 Capitol riot.

But those achievements were overshadowed by legislative setbacks and a sense that Congress was not rising to meet a perilous moment in history. "It has been a horrible year, hasn't it?" asked Senator Lisa Murkowski.

Campaign posters greeted shoppers ahead of elections today.Billy H.C. Kwok for The New York Times

5. We're waiting for election results out of Hong Kong, but the writing is already on the wall.

The election is the first since Beijing imposed a drastic overhaul of the political system to allow only "patriots" to run for office, tightening the Communist Party's grip over the territory.

Candidates have been vetted by national security bodies, and the establishment's near-total control of the legislature is now guaranteed. The crackdown has driven most of the city's popular pro-democracy candidates either into police custody or exile. Officials urged the public to vote, but turnout was expected to be low.

Carrie Lam, Hong Kong's chief executive, is the territory's most unpopular leader ever, polls show. Yet she now appears reinvigorated and ready for a second term, if Beijing allows her to stay.

Deeply reported journalism needs your support.

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Robert Reives Sr., a county commissioner in Sanford, N.C., may lose his seat.Jeremy M. Lange for The New York Times

6. Map by map, Republicans are chipping away at Black Democrats' power.

In several states, a growing number of Black elected officials, from members of Congress to county commissioners, have been drawn out of their districts this year or face headwinds to hold onto their seats. Almost all of the affected lawmakers are Democrats. Most of the mapmakers are white Republicans.

Because partisan gerrymandering has long been difficult to disentangle from racial gerrymandering, proving the motive can be troublesome. But the effect remains the same: less political power for communities of color.

Last spring, Black and Asian groups stood together in response to the violence aimed at their communities. But calls for unity have ebbed over disagreements on one main issue: policing.

Si Spiegel is one of the last living World War II bombers.Carly Zavala for The New York Times

7. Si Spiegel can claim a dual legacy: as a war hero and as a father of the artificial tree.

Spiegel, 97, is one of the last bomber pilots of World War II still with us. He flew a B-17 on dozens of dangerous missions, saved his crew by belly-landing in a frozen potato field in Poland and then helped orchestrate a daring escape back out. But, like many other Jewish soldiers, he was denied promotion and, after the war, he was frozen out of aviation.

Instead, Spiegel went to vocational school and found a job as a machinist at a brush manufacturer. His bosses decided to repurpose the brush machines to make Christmas trees. Spiegel would go on to perfect their design and retired from his own artificial tree company, American Tree and Wreath, in 1993 as a multimillionaire. And there's much more to his extraordinary life.

Matthew Grimes, 13, and his brother, David, 11, started participating in e-sports during the pandemic.Jake Dockins for The New York Times

8. Gen Z is moving away from basketball courts and soccer fields and toward PlayStations and Xboxes. The rise of e-sports is shaking up an entire industry.

Participation in youth sports was declining even before Covid-19. Then, between at-home learning and the shutdown of youth sports, a high-tech generation found even more escape and engagement on its smartphones and consoles. Even the Y.M.C.A. is getting on board: In April, it began a national e-sports pilot program in 120 of its U.S. branches.

In case you missed it: New gaming consoles remain in short supply this holiday season, spawning cottage industries of tipsters and scalpers making money off their scarcity.

One person's trash is another's treasure.Laurent Allard

9. Need a last-minute gift that's both laziness- and supply chain-friendly? Look no further than your own things.

Once deemed tacky, regifting is being recast as a more thoughtful and sustainable way to shop. (No one even needs to know.) We asked a group of creatives what they would regift from their collections, and the list included plant clippings, an Oprah 25th-anniversary coffee table book and crystals.

For more ideas, our garden expert Margaret Roach suggests these truly useful gifts for gardeners, our food columnist Tejal Rao has her eye on these veggie-friendly presents and the Wirecutter recommends 27 last-minute gifts.

Chloe Kim is headed to the Winter Olympics to defend her 2018 gold medal.Alicia Afshar for The New York Times

10. And finally, catch up on our favorite stories of the week.

A teen snowboarding sensation grows up. Tracing a sweater's journey from Mongolia to Madison Avenue. The 25 essential dishes to eat in New York City. We handpicked these stories and more for you in The Weekender.

Our editors also suggest these nine new books, new music from Cécile McLorin Salvant, Leon Bridges and more, and "The Larkins" on Acorn TV.

Did you recognize these notable people of 2021? Test your knowledge. And here's the front page of our Sunday paper, the Sunday Review from Opinion and today's Mini Crossword and Spelling Bee. If you're in the mood to play more, find all our games here.

Have a safe and festive week.

Shaminder Dulai compiled photos for this briefing.

Your Weekend Briefing is published Sundays at 6:30 a.m. Eastern.

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