Read the press release on GLOBE NEWSWIRE
2016 Year-End Report Reveals Growing Trends in Private Company Liquidity. Size and Diversity of Liquidity Programs Continues to Evolve.
NEW YORK and SAN FRANCISCO, Feb. 07, 2017 (GLOBE NEWSWIRE) — The NASDAQ Private Market, LLC has published its 2016 Year-End Private Company Report, which summarizes private company liquidity activity on the NPM platform.
An infographic accompanying this announcement is available at http://www.globenewswire.com/NewsRoom/AttachmentNg/ec57c454-0407-4ff5-b3f1-ba2ee3ef0ca4
KEY FINDINGS INCLUDE:
$1 BILLION IN TRANSACTION VOLUME OVER 32 LIQUIDITY PROGRAMS
- 58% share repurchases
- 42% third-party tender offers
MEDIAN PROGRAM SIZE: $34 MILLION
AVERAGE COMPANY PROFILE OF NPM’S CLIENTS IN 2016:
- Company age: 11 years
- Number of employees: 220
- Primary capital raised: $120 million
- Valuation: $500 million
PROFILE OF ELIGIBLE SELLER POOL
- 74% current employees
- 17% former employees
- 8% investors
- 1% other
“Liquidity continues to be an important recruitment and retention tool for private companies,” said Eric Folkemer, Head of NASDAQ Private Market. “This year we saw smaller companies conducting liquidity programs for their shareholders and over a third of the programs we facilitated were repeat programs for existing customers. The post-election stock market rally has already contributed to a healthy pipeline of programs reportedly scheduled for 2017, and we anticipate seeing more diversity in the types of transactions facilitated by our platform.”
Click Here to Download the Report
About NASDAQ Private Market:
The NASDAQ Private Market, LLC is the premier equity services provider to private companies. Our end-to-end solution enables private companies to digitize, integrate, and control all of their equity-related functions, including cap table management, shareholder liquidity, investor relations, and capital raising. Whether a company seeks to optimize an eventual IPO or remain private permanently, NASDAQ Private Market provides comprehensive capital market support to meet its needs. For certain eligible investors and shareholders, NASDAQ Private Market is a place to discover and engage with some of the most exciting private companies. The information contained herein is provided for informational and educational purposes only. None of the information provided is an offer or solicitation to buy or sell any securities, or to provide any legal, tax, investment or financial advice. The NASDAQ Private Market, LLC is not: (a) a registered exchange under the Securities Exchange Act of 1934; (b) a registered investment adviser under the Investment Advisers Act of 1940; or (c) a financial or tax planner, and does not offer legal advice to any user of the NASDAQ Private Market website. Technology services may be offered by The NASDAQ Private Market, LLC’s subsidiary, SecondMarket Solutions, Inc. Securities-related services offered through SecondMarket Solutions, Inc. are provided by SMTX, LLC, a registered broker-dealer, which is a member FINRA/SIPC and also a wholly-owned subsidiary of The NASDAQ Private Market, LLC. Securities offered through SMTX, LLC are not listed or traded on The NASDAQ Stock Market LLC, nor are the securities subject to the same listing or qualification standards applicable to securities listed or traded on The NASDAQ Stock Market LLC. Data collected from the SecondMarket platform may include transactions conducted through current and former affiliates of SecondMarket. To learn more, visit www.npm.com.