Have your eye on an acquisition as your exit strategy? Here's a list you might want to print.
PrivCo, a financial analyst firm that focuses on private companies, recently released its 2012 ranking of the top tech VC firms, based on the number of their portfolio companies acquired last year. A number of these names you may recognize, but there are a few noteworthy surprises on here, too.
Here are the top 10:
- Intel Capital
- Felicis Ventures
- Sequoia Capital
- First Round Capital
- Battery Ventures
- DFJ (Draper Fisher Jurvetson)
- Greylock Partners
- Google Ventures
There are 10 more on the page linked above, including some notable surprises. Kleiner Perkins, a traditional powerhouse in Silicon Valley venture capital, didn't make the top 20. Also, newer generation VC firms took the No. 2 and 3 spots, as well as 11 and 13. What makes this of particular interest is that the people running these firms have entrepreneurial backgrounds rather than investment and financial experience. They have actually lived and sweated through business problems, not just watched their investments do so. Chances are, they can offer a solid foundation of advice in addition to money.
Knowing who is good at fanning the acquisitions fire is important because that seems to be the hot route for exit strategies. Last year saw 2,357 acquisitions of private tech firms by more than 100 acquiring companies, whether tech businesses themselves or private equity firms.