Are We Due for a Market Correction in The Venture Capital Industry?

06:41 | John Ince | Aug 10th, 2007 5:34pm |

The venture capital Industry has enjoyed relatively good times in the last 3 years, but signs are starting to indicate trouble on the horizon, from liquidity problems to Sarbanes Oxley compliance.  Paul Deninger, Vice Chairman of Jefferies and Company Inc., takes a look ahead and analyzes potential warning signs of a downturn. He believes that top “Bulge Bracket” investment banks that now control most of the “book running” for allocations of stock in the IPO market, have shown little interest in smaller (sub $500 million) IPOs.  The result is that smaller startups essentially still find the IPO window hard to open, and VCs must rely primarily on an M&A activity for exits.

Tags: Sarbanes Oxley, Paul Deninger, Bulge Bracket, IPO

This entry was posted on Friday, August 10th, 2007 at 5:34 pm and is filed under PodVentureZone, PodTech, Enterprise 2.0. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.

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