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May 25, 2005

Venture Valuations Climb

Median pre-money valuations of U.S. venture-backed companies in the first quarter reached $15M, according to VentureOne. This represents the highest level since 2001 - driven by an increase in first-round valuations. VentureOne's data shows that Q1 median valuation rose 23% from the same period last year, when median valuation was $12.2M.

Of course the devil is in the details. It appears that the higher numbers are more a reflection that VCs are jumping into early stage deals once they are a bit more mature and the higher valuations are reflective of greater entrepreneur investment and progress.

Read - Early-Stage Deals Gain Share In First Quarter Despite Declines (Venture One)

Posted on May 25, 2005 10:44 AM | Posted to News & Updates | Permalink