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Dashboard: Venture activity ends last year on down note, awaiting IPO pick up in 2017

Three of the four dashboard indices sagged in December, as venture-backed fundraising, deals and M&A ended the year on less-than-stallar notes.

IPOs remain non-existent, as the world waits for the debut of AppDynamics, Snap and other unicorns that potentially could go public in early 2017.

However, it was still a strong year for fundraising, with more than $40 billion raised last year, according to Thomson Reuters data. Overall, last year showed strength, considering that exit markets were generally weak throughout 2016.

Here’s how the four dashboard indices performed in December:

Fundraising (value down 8.3%)

Fundraising for U.S.-based venture firms dropped in December, down to $2.32 billion from $2.53 billion in November. Breakthrough Energy Ventures led the way with $1.08 billion raised for its clean energy fund and was formed by Bill GatesJeff BezosJohn DoerrJack MaVinod Khosla and others. Ascension Ventures was next, with $255 pooled for its fourth healthcare venture fund, CHV IV.

Deals (value down 50%)

Deal value was cut in half in December, dropping to $2.9 billion from $5.8 billion the previous month. The deal count rose, however, to 364 from 247. The top deal of the month was for drugmaker Intarcia Therapeutics, which received $206 million in financing.

M&A (value down 70%)

Venture-backed M&A lost nearly three-quarters of its total value, falling to $649 million in December from more than $2 billion in November. A total of 22 U.S.-based companies were acquired, with only four disclosing their financials. The top deal was ClariPhy Communications, which was acquired by Inphi for $277 million.

IPO (no change)

Last year saw the fewest VC-backed IPOs since 2009, so it should come as no surprise that venture-backed IPOs stayed at zero in December, unchanged from the previous month.

Source: Thomson Reuters data

Photo of business graph with red down arrow courtesy of ©iStock/temniy