Fundraising by Venture Funds ----------------------------------------------- Venture Number of Capital Year/Quarter Funds ($M) ----------------------------------------------- 2005 243 29,042.7 ----------------------------------------------- 2006 243 32,094.9 ----------------------------------------------- 2007 253 36,206.4 ----------------------------------------------- 2008 225 28,530.7 ----------------------------------------------- 2009 140 15,820.7 ----------------------------------------------- 2010 32 3,617.8 ----------------------------------------------- 1Q'08 75 7,184.8 ----------------------------------------------- 2Q'08 83 9,294.6 ----------------------------------------------- 3Q'08 63 8,497.4 ----------------------------------------------- 4Q'08 49 3,553.9 ----------------------------------------------- 1Q'09 57 5,250.9 ----------------------------------------------- 2Q'09 32 4,203.7 ----------------------------------------------- 3Q'09 29 2,296.8 ----------------------------------------------- 4Q'09 44 4,069.3 ----------------------------------------------- 1Q'10 32 3,617.8 -----------------------------------------------
Source: Thomson Reuters and National Venture Capital Association
"There is no question that the bar has been raised for venture capital fundraising," said Mark Heesen, president of the NVCA. "Over the last two years, alternative asset allocations have declined and the exit market has suffered, putting venture firms in the unenviable position of communicating their value in an extremely challenging environment. Many firms have been waiting until the exit market improves before embarking upon their fundraising efforts. This wait has been considerably longer than many firms anticipated. Those firms that are successfully raising money today do have both a track record as well as vision for the future. As predicted, the next few years will see the industry consolidate with the strongest firms surviving."
There were five new funds and 27 follow-on funds raised in the first quarter of 2010, a ratio of over five-to-one of follow-on to new funds. The largest new fund reporting commitments during the first quarter of 2010 was Boston-based Longwood Founders Fund, which raised $50.7 million in its inaugural fund. A "new" fund is defined as the first fund at a newly established firm, although the general partner of that firm may have previous experience investing in venture capital.
VC Funds: New vs. Follow-On -------------------------------------- No. of No. of Follow- New on Total -------------------------------------- 2005 67 176 243 -------------------------------------- 2006 56 187 243 -------------------------------------- 2007 62 191 253 -------------------------------------- 2008 50 175 225 -------------------------------------- 2009 28 112 140 -------------------------------------- 2010 5 27 32 -------------------------------------- 1Q'08 12 63 75 -------------------------------------- 2Q'08 23 60 83 -------------------------------------- 3Q'08 14 49 63 -------------------------------------- 4Q'08 11 38 49 -------------------------------------- 1Q'09 5 52 57 -------------------------------------- 2Q'09 11 21 32 -------------------------------------- 3Q'09 9 20 29 -------------------------------------- 4Q'09 8 36 44 -------------------------------------- 1Q'10 5 27 32 --------------------------------------
Source: Thomson Reuters and National Venture Capital Association
The largest funds raised during the first quarter of 2010 were Battery Ventures IX, L.P. and Oak Investment Partners XIII, L.P which both saw $750 million in fund commitments during the quarter."
No comments:
Post a Comment