Annual U.S. Venture-Backed Exit Activity

Annual U.S. Venture-Backed Exit Activity

Proof Point

U.S. venture-backed exit activity experiencing slow down since 2015 after reaching historic level in 2014 as startup companies increasingly opt to stay private longer

Annual U.S. Venture-Backed Exit Activity

2007 – 2017 H1 (US$ billions)

Proof Point Findings

  • Venture-Backed Exit – Value of venture-backed startup exits, such as acquisitions, selling of shares to public through Initial Public Offering (IPO), or buyouts which are buying of shares until acquirer has controlling interest of firm
  • Slight Exit Value Increase – Exit value of venture-backed companies grew 3% annually between 2007 and 2016, from $40.5 billion to $54.3 billion
  • Decline Since 2015 – Exit value reached peak $82.3 billion in 2014 out of 1,057 exits made, but declining since then to $48.6 billion in 2015 and $54.3 billion in 2016
  • Most Popular Exit Strategy – Though majority of exits still coming from acquisitions, buyouts are increasingly becoming more popular
  • Most Common Software Exits – Software exits make up 40% of exit value each year since 2014
  • Key Drivers – Include startups staying private for longer and intensifying competition from corporations

Market Disruption




Date Last Updated

September 5, 2017

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