Although healthcare made up 63% of Q1's record setting IPO tally, not a single healthcare IPO made the top 10 in terms of exit size (valuation).

The venture capital industry saw one the best quarters on the exit front since the dot com days in Q1 2014. Thirty-five U.S. headquartered venture-backed companies went public in the first three months of 2014, the highest tally since Q3 2000, while VC-backed tech M&A jumped 82% from the same quarter last year.


Leading the charge in IPO activity was the healthcare sector, which notched 22 offerings representing 63% of all VC-backed IPOs in Q1. Of note, VC-backed healthcare IPOs jumped 120% from Q4’13′s tally and a whopping 450% compared to the number of healthcare IPOs in the same quarter last year (just 4).

exitbysectorInterestingly, the top 3 venture-backed U.S. exits in Q1 all came via M&A, two of which came from the same acquirer, Facebook. In fact, M&A activity made up 7 of the top 10 largest exits in the first quarter, while Venrock-backed Castlight Health topped the list of IPO exits by valuation on the date of exit.

top10q1exitsNote: The healthcare sector consists of companies in the biotech, medical device, drug and & pharmaceutical industries. Enterprise health cloud software firm Castlight Health was counted as a tech exit (Internet, mobile, software, hardware, electronics)

For more venture-backed exit data, trends and valuations check out the CB Insights Venture Capital Database and our private company valuations and valuation multiples capabilities.