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MAVA Press Contact: Stacey Sweeney
(703) 281-2254 or (571) 228-2249
Stacey@StaceySweeney.com
VCs Continue Optimism about Market Recovery as Several Indicators of Market Growth Show Stabilization
Quarterly Investment Activity Sees Uptick, Forecast for Future Activity Also Positive
(November 10, 2004, Timonium, MD) - Data released today by the Mid-Atlantic Venture Association (MAVA) indicates that private equity investors in the region continue to have a positive attitude about market recovery, as evidenced in the results from nine consecutive quarterly surveys. In this quarter's results there was early evidence of possible stabilization in market growth via several indicators such as valuations, merger and acquisition activity, and deal flow activity. Additionally, regional VCs picked up their investment activity in Q3 and forecast an active fourth quarter.
"VCs continue to be focused on the long-range cycle of private equity investing and understand that market improvement builds over time," said Julia Spicer, Executive Director of MAVA. "As VCs work on deals, they are taking their time to do proper due diligence and even though valuations appear to be leveling off and term sheet competition continues to be strong, funds are being careful to place their money wisely".
The venture capital survey is part of MAVA's ongoing efforts to better assess the climate for private equity investing 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 Q3 2004 survey was conducted via email to 336 member VCs using WebSurveyor, and received a 15% response rate.
Download the full press release, including the survey's major findings, in PDF format.
