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VC-backed M&A declines in Q1, while time to exit shrinks

The number of mergers and acquisitions of U.S.-based companies dropped in the first quarter of 2018 compared to the same period in the two years before, while their total disclosed value jumped, according to data from Thomson Reuters.

On a positive note, the length of time for VC-backed companies to exit averaged 5.2 years in the first quarter, down from 5.8 years in the first quarter of both 2017 and 2016.

Through March 31, 78 venture-backed companies were acquired, compared to 85 in the first quarter of 2017 and 88 in the first quarter of 2016, Thomson Reuters reported.

Of the companies acquired this year, 12 disclosed their acquisition price, which totaled $9.9 billion. In 2017, 16 companies disclosed their acquisition price, which amounted to $7.6 billion, and in 2016 the 24 companies that disclosed had a collective price tag of $5.3 billion.

The biggest deal thus far is Impact Biomedicines, which announced its sale in January to Celgene for $7 billion. Impact had previously raised $22 million in Series A funding from investors including Medixci Ventures as well as$90 million in debt financing from Oberland Capital, according to data from Thomson Reuters and Crunchbase.

Overall, venture firms invested $2 billion into companies that exited in the first quarter of 2018, compared to $2.9 billion invested in companies bought in the first quarter of 2017.

Below are the 12 companies that disclosed their exit price in the first quarter of 2018.

Click here to download the data in Excel: Top US M&A Q1 2018

Q1 2018 VC-backed mergers and acquisitions

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