The Daily Startup: Square, Match Advance in Trading Openers

dailystartup_D_20090806101628.jpgArt by Mike Lucas

The venture capital sector was shown a sign the door may be open to tech IPOs. Widely watched Jack Dorsey-founded payments startup Square finished trading higher while Match Group also advanced in its trading debut, report The Wall Street Journal’s Telis Demos and Corrie Driebusch. The market reception, which comes after pricing below or at the low end of expectations, is a bright point in an otherwise lackluster year for public offerings. The IPOs comes as email security startup Mimecast also staged a positive first day, on the Nasdaq , and ended the day edging slightly higher than its price, reports Deborah Gage for The Wall Street Journal.

ALSO IN TODAY’S VENTUREWIRE (subscription required):

Nigel Morris, a co-founder of Capital One and the financial tech investment firm QED Investors, has backed high-flying startups in the financial sector. Most recently, his firm invested in CircleUp Network Inc. an equity fundraising platform for consumer goods and retail businesses. He discussed alternative lending and equity crowdfunding in a recent interview with Lora Kolodny for Dow Jones VentureWire.

Travo, based in Los Angeles, has raised $2.4 million in a seed round to grow its travel reservations platform tailored for professionals who book their own business trips. Investors in the round included Great Oaks Ventures, Baroda Ventures, Valence Ventures, TYLT Lab and individual angels.

(VentureWire is a daily newsletter with comprehensive analysis of all the investments, deals and personnel moves involving startups and their venture backers. For a two-week trial, visit http://on.wsj.com/DJPEVCNews, scroll to the bottom and click “try for free.”)

ELSEWHERE AROUND THE WEB:

Massachusetts Moves to Restrict Daily Fantasy Games to Players 21 and Older. The Massachusetts’ attorney general wants to ban anyone younger than 21 from playing daily fantasy sports and impose a host of regulations on the industry. The announcement, made by state Attorney General Maura Healey, stopped short of declaring the games illegal. Massachusetts will not follow the lead of New York Attorney general Eric Schneiderman, who  this week declared daily fantasy “plainly illegal” and filed suit to shut providers down in the state, reports The Wall Street Journal’s Sharon Terlep.

Square Pays $93 Million Penalty to Some Investors in IPO. Square Inc. will have to give some investors additional shares valued at $93 million after its initial public offering priced well below a promised threshold, report The Wall Street Journal’s Scott Austin and Rolfe Winkler.

Write to Scott Martin at scott.martin@wsj.com. Follow him on Twitter at @scottysmartin