Initial public offerings by venture-backed companies raised $934.2 million in eight IPOs in the third quarter, making it the slowest quarter since 2003, according to the National Venture Capital Association’s Exit Poll report.
"Last quarter there was some hope, but that seems to have fallen off," Emily Mendell of the NVCA said.
Interestingly, Internet phone service provider Vonage’s May IPO, which opened at $17 and closed 13% down on its first day, may mark the beginning of the downturn in venture-backed offerings.
Nonetheless, Vonage chairman Jeffrey Citron on Tuesday in a USA Today exclusive interview defended his company's ill-fated public offering and dismissed claims that looming competition from cable companies has dimmed its prospects. Perhaps cable hasn’t dimmed Vonage’s prospects, but Vonage has certainly dimmed IPO prospects. — Matthew Wurtzel
See IPO story from The Deal
See Vonage story from USA Today
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