For more information, please contact:
MAVA Press Contact: Stacey Sweeney
(703) 281-2254 or (571) 228-2249
Stacey@StaceySweeney.com
Mid-Atlantic Venture Capitalists' Survey Reveals
Valuations and Merger & Acquisition Activity on the Rise
VCs Predict Strong Uptick in Q1 2004 Investments
(February 19, 2004, Timonium, MD) – Data released today by the Mid-Atlantic Venture Association (MAVA) shows that investors in the region continue to express improvement in conditions that impact market recovery, with Q4 2003 survey data results showing specific increases in several key indicators including valuations and merger & acquisition activity. The majority of survey respondents foresee an even greater volume of investment activity occurring in the first quarter than they experienced in the fourth quarter of 2003. Additionally, venture firms report a slight shift to delay their fundraising timelines to 2005/2006.
“The returning exit possibilities continue to provide necessary returns to investors and can impact positively the overall health of venture funds and how they plan for their future fundraising efforts,” said Julia Spicer, Executive Director of MAVA. “The combination of increased valuations and anticipated investment activity for the first quarter is a positive sign for the entrepreneur and suggests a stronger investment climate for financing early-stage companies as we enter 2004.”
The venture capital survey is part of MAVA’s ongoing efforts to better assess the climate for private equity in the Mid-Atlantic region. While the purpose of other private equity surveys is to track previous investment activity, the quarterly MAVA venture capital survey is intended to gauge investor attitudes, future activity and important investment trends. The Q4 2003 survey was conducted via email using WebSurveyor, and sent to 302 member VCs and received a 13% response rate.
Download the full press release, including the survey's major findings, in PDF format.
