Venture-Backed IPO Exit Activity Keeps Momentum With Best Full Year For New Listings Since 2000

Led by Biotechnology, Seventh Consecutive Quarter for 20+ Public Offerings

NEW YORK, NY – Twenty-seven venture-backed initial public offerings (IPOs) raised $4.4 billion during the fourth quarter of 2014, an 18 percent increase, by number of offerings, from the third quarter of this year and a 68 percent increase, by dollars, compared to the previous quarter, according to the Exit Poll report by Thomson Reuters and the National Venture Capital Association (NVCA). This quarter also marked the seventh consecutive quarter to see 20 or more venture-backed IPOs, levels not seen since the fourth quarter of 2000. During full year 2014, 115 venture-backed companies went public in the United States. For the fourth quarter of 2014, 95 venture-backed M&A deals were reported, 29 of which had an aggregate deal value of $26.4 billion. Bolstered by Facebook’s $19.5 billion purchase of Whatsapp Inc, the fourth quarter of 2014 marks the second strongest quarter for venture-backed M&A, by disclosed value, since records began in 1994. With 455 acquisitions of venture-backed companies during the year, full year 2014 ranks as the strongest year for venture-backed M&A deals since 2012. (more…)

NVCA Recommends Changes to Proposed Tick Size Pilot Program

WASHINGTON, DC – The National Venture Capital Association (NVCA) today filed a comment letter with the Securities and Exchange Commission (SEC) with recommendations to improve a proposed pilot program that allows for the trading of small-cap stocks at wider tick-sizes. (more…)

NVCA Forms Diversity Task Force to Foster Greater Inclusion across the Innovation Ecosystem

ARLINGTON, VA – The National Venture Capital Association (NVCA) today announced the formation of the NVCA Diversity Task Force to develop a clear and measurable path to increase opportunities for women and men of diverse backgrounds to thrive in venture capital and entrepreneurship. The NVCA Diversity Task Force is an initiative of the NVCA Board of Directors and will be led by current and former board members of the association. Through forums, research and programming, the NVCA Diversity Task Force will examine the lack of diversity in the venture capital industry and develop meaningful solutions to build a more inclusive, stronger innovation economy for the 21st Century. (more…)

Venture Capital Continues to Be Strong Performing Asset Class

Venture capital outperformed DJIA during second quarter

Arlington, VA, October 31, 2014 – Venture capital fund performance continues to be strong across most time horizons as of June 30, 2014, according to the National Venture Capital Association’s (NVCA) performance benchmark, the Cambridge Associates LLC U.S Venture Capital Index®. Although returns were down for the quarter as well as the 1-, 3-, and 15-year horizons, the declines were only slight. The 5-, 10- and 20-year horizons all showed higher returns from the previous quarter. Compared to other benchmarks, venture capital outperformed the DJIA during the second quarter, but was down compared to the NASDAQ Composite and the S&P 500. Venture capital outperformed the other leading benchmarks during the 10-, 15- and 20-year time horizons. However, with the exception of the DJIA during the 1-year time horizon, the DJIA, NASDAQ Composite and the S&P 500 all outperformed venture capital during the 1-, 3- and 5-year time horizons. (more…)

Year-To-Date Venture Capital Dollars Invested Eclipses Total Dollars Invested in all of 2013

Venture Capital Investing in Q3 Down 27% from Q2, but Number of Deals Exceeds 1,000 for the Sixth Consecutive Quarter

WASHINGTON, OCTOBER 17, 2014 – Venture capitalists invested $9.9 billion in 1,023 deals in the third quarter of 2014, according to the MoneyTree™ Report from PricewaterhouseCoopers LLP (PwC) and the National Venture Capital Association (NVCA), based on data provided by Thomson Reuters. Quarterly venture capital (VC) investment declined 27 percent in terms of dollars and 9 percent in the number of deals, compared to the second quarter when $13.5 billion was invested in 1,129 deals. The third quarter is the sixth consecutive quarter of more than 1,000 companies receiving venture capital investments in a single quarter. With more than $33.0 billion invested through the first three quarters, total venture investing in 2014 has eclipsed total venture investing in all of 2013, which totaled $30.0 billion. (more…)

Year To Date Venture Capital Fundraising Surpasses Full Year 2013 Commitment Levels

U.S. Firms Raise Nearly $6.1 Billion During Third Quarter

New York, October 9, 2014 – U.S. venture capital firms raised $6.1 billion in new commitments from 60 funds during the third quarter of 2014, a 26 percent decrease compared to the number of funds raised during the second quarter of 2014 and a 21 percent decline by dollar commitments, according to Thomson Reuters and the National Venture Capital Association (NVCA). The level of dollar commitments raised during the third quarter of 2014 increased 40 percent compared to the third quarter of last year and brings the dollar volume of capital committed to U.S. venture capital funds during the first nine months of 2014 to $23.8 billion, eclipsing full year 2013 levels. (more…)

Venture-Backed IPO Exit Activity Extends Streak Of 20+ Offerings For Sixth Consecutive Quarter

IPO Activity in First Nine Months of Year Eclipses 2013 Total

New York, New York, October 1, 2014 – Twenty-three venture-backed initial public offerings (IPOs) raised $2.6 billion during the third quarter of 2014, marking the sixth consecutive quarter to see 20 or more venture-backed IPOs, according to the Exit Poll report by Thomson Reuters and the National Venture Capital Association (NVCA). Bolstered by biotechnology offerings, third quarter IPOs pushed the total number of offerings during the first nine months to 88, eclipsing full year 2013 levels. For the third quarter of 2014, 119 venture-backed M&A deals were reported, 32 of which had an aggregate deal value of $7.9 billion, more than double the disclosed value recorded during the second quarter of this year. Average deal size during the third quarter totaled $248.2 million, a marked increase compared to the second quarter of 2014. (more…)

NVCA to FCC: Entrepreneurs Should Not Face Arbitrary Roadblocks on Internet

ARLINGTON, VA – The National Venture Capital Association (NVCA) today filed a second comment letter with the Federal Communications Commission (FCC) on the issue of net neutrality.

Bobby Franklin, President and CEO of NVCA, made clear in the letter that FCC rulemaking should not come at the expense of entrepreneurs and that anything short of fair and equitable access to users and customers through the Internet could jeopardize startup companies. (more…)

Kate Mitchell of Scale Venture Partners Rejoins NVCA Board of Directors

ARLINGTON, VA – The National Venture Capital Association (NVCA) today announced that Kate Mitchell, Co-Founder and Partner of Scale Venture Partners and former Chairman of the NVCA Board of Directors, will rejoin NVCA’s board as a director effective immediately. Mitchell’s term will expire in 2016 and comes after Adam Grosser, Managing Director of Silver Lake Kraftwerk, resigned from the NVCA board. Mitchell previously joined the NVCA board as a director in 2007 and then later served as chairman from 2010 to 2011. (more…)