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	<title>Betabeat &#187; Big Firms are Giving Smaller VCs Exit Envy</title>
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		<title>Betabeat &#187; Big Firms are Giving Smaller VCs Exit Envy</title>
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		<title>Big Firms are Giving Smaller VCs Exit Envy</title>

		<comments>http://betabeat.com/2011/07/big-firms-are-giving-smaller-vcs-exit-envy/#comments</comments>
		<pubDate>Fri, 08 Jul 2011 10:41:02 -0400</pubDate>
					<link>http://betabeat.com/2011/07/big-firms-are-giving-smaller-vcs-exit-envy/</link>
			<dc:creator>Nitasha Tiku</dc:creator>
				
		<guid isPermaLink="false">http://www.betabeat.com/?p=11681</guid>
		<description><![CDATA[<p><div id="attachment_11687" class="wp-caption alignleft" style="width: 143px"><img class="size-thumbnail wp-image-11687 " style="margin: 5px 10px;" title="Big Dog Little Puppy" src="http://nyobetabeat.files.wordpress.com/2011/07/big-dog-little-puppy.jpg?w=133&h=200" alt="" width="133" height="200" /><p class="wp-caption-text">I eat IPOs like yours for breakfast.</p></div></p>
<p>Betabeat has already noted the prevailing winds of venture capital class warfare--with equity in hot start-ups, access to dealflow, and ability to raise capital separates "<a href="http://www.betabeat.com/2011/06/14/venture-capital-class-warfare-the-rich-are-getting-richer/">the haves from the have nots</a>." But as the IPO wave has started to crest, even fewer names have risen to the top. And if the <em>Wall Street Journal</em>'s <a href="http://online.wsj.com/article/SB10001424052702304793504576431822548292868.html">numbers are any indicator</a>, it's given some VCs cause for a little <a href="http://onlineslangdictionary.com/meaning-of/freudenschade">reverse schadenfreude</a>.<!--more--></p>
<blockquote><p>"Top venture-capital firms Accel Partners, Sequoia Capital and Redpoint  Ventures have the biggest volume of initial public offerings and sales  of start-ups so far this year, according to an analysis by  VentureSource, with all three firms each notching at least nine such 'exits' in the first half of 2011. In contrast, more than 200 venture  firms have had only one exit each so far this year, with scores of  others having none."</p></blockquote>
<p>What's more, returns at the very top have likewise "widened" over other reputable performers "by two to three times" this year, Mel Williams from TrueBridge Capital Partners, a firm that invests in VC funds, tells the <em>Journal</em>. "A handful of managers are clearly  distancing themselves from the pack."</p>
<p><a href="http://techcrunch.com/2011/07/04/tech-ipos/">Impending IPOs</a> from Kayak (backed by <a href="http://www.crunchbase.com/company/kayak">Sequoia and Accel</a>), Zillow (backed by <a href="http://www.crunchbase.com/company/zillow">Benchmark</a>), and Groupon (backed by <a href="http://www.crunchbase.com/company/groupon">Accel</a>, among many others) all stand to make them even richer. Maybe they can use it to buy some stock in Zynga, the one company the <a href="http://online.wsj.com/article/SB10001424052702304793504576431822548292868.html">top six VCs in terms of IPOs and M&amp;As</a>, missed out on, while Fred Wilson <a href="http://www.betabeat.com/2011/07/01/zyngas-ipo-is-a-fund-maker-for-union-square-ventures/">chuckles to himself.</a></p>
]]></description>
		<content:encoded><![CDATA[<p><div id="attachment_11687" class="wp-caption alignleft" style="width: 143px"><img class="size-thumbnail wp-image-11687 " style="margin: 5px 10px;" title="Big Dog Little Puppy" src="http://nyobetabeat.files.wordpress.com/2011/07/big-dog-little-puppy.jpg?w=133&h=200" alt="" width="133" height="200" /><p class="wp-caption-text">I eat IPOs like yours for breakfast.</p></div></p>
<p>Betabeat has already noted the prevailing winds of venture capital class warfare--with equity in hot start-ups, access to dealflow, and ability to raise capital separates "<a href="http://www.betabeat.com/2011/06/14/venture-capital-class-warfare-the-rich-are-getting-richer/">the haves from the have nots</a>." But as the IPO wave has started to crest, even fewer names have risen to the top. And if the <em>Wall Street Journal</em>'s <a href="http://online.wsj.com/article/SB10001424052702304793504576431822548292868.html">numbers are any indicator</a>, it's given some VCs cause for a little <a href="http://onlineslangdictionary.com/meaning-of/freudenschade">reverse schadenfreude</a>.<!--more--></p>
<blockquote><p>"Top venture-capital firms Accel Partners, Sequoia Capital and Redpoint  Ventures have the biggest volume of initial public offerings and sales  of start-ups so far this year, according to an analysis by  VentureSource, with all three firms each notching at least nine such 'exits' in the first half of 2011. In contrast, more than 200 venture  firms have had only one exit each so far this year, with scores of  others having none."</p></blockquote>
<p>What's more, returns at the very top have likewise "widened" over other reputable performers "by two to three times" this year, Mel Williams from TrueBridge Capital Partners, a firm that invests in VC funds, tells the <em>Journal</em>. "A handful of managers are clearly  distancing themselves from the pack."</p>
<p><a href="http://techcrunch.com/2011/07/04/tech-ipos/">Impending IPOs</a> from Kayak (backed by <a href="http://www.crunchbase.com/company/kayak">Sequoia and Accel</a>), Zillow (backed by <a href="http://www.crunchbase.com/company/zillow">Benchmark</a>), and Groupon (backed by <a href="http://www.crunchbase.com/company/groupon">Accel</a>, among many others) all stand to make them even richer. Maybe they can use it to buy some stock in Zynga, the one company the <a href="http://online.wsj.com/article/SB10001424052702304793504576431822548292868.html">top six VCs in terms of IPOs and M&amp;As</a>, missed out on, while Fred Wilson <a href="http://www.betabeat.com/2011/07/01/zyngas-ipo-is-a-fund-maker-for-union-square-ventures/">chuckles to himself.</a></p>
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