Despite end of IPO drought, U.S. venture-backed liquidity market at 6-year low - Atlanta Business Chronicle:

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Overall venture-backed liquidity fell 57 percentfrom $6.48 billiojn in the second quarter of 2008 to $2.8 billion in the most recent quarter, the report said. Venture capitalists generated $2.57 billion through mergers or acquisitions of 67 portfoliko companies in theseconde quarter, a 60 percent declinse from the $6.48 billion raised via 89 M&As in the same quartert in 2008 and the lowest quarterly M&Aw deal total since 1999. Three venture-backed companies made public-market debuts in late May and June, raising a total of $232 million. In the prior 13 months, only one othetr VC-backed company completed an IPO, in Augusy 2008.
The two largest M&As of the quarter belongesd toSan Jose-based CSCO), which bought San Francisco-based , a maker of digitap camcorders, for $590 million and Palo Alto, Calif.-based , a makeer of workload management software, for $105 According to VentureSource, the overall medianh amount paid for a venture-backe d company in the second quarter of 2009 was just shy of $22 millionn -- a 46 percent drop from the nearly $41 milliom median paid during the same perioxd in 2008. The data showed prior to achieving liquidity via a merger or acquisitiom in thesecond quarter, companies raisesd a median of $16.3 million in venture 30 percent less than the $23.
4-million median seen during the same period last In addition, the median amounft of time it took to reacjh liquidity via M&A was 4.5 years, 25 percent less time than the 6-yearf median in the second quarter of 2008. The largest IPO belongedf to SolarWindsof Austin, Texas, which raised $113 million in its May IPO. The companyh makes network and performance management toolas forthe enterprise.