Average Company Age of 11 at the Time of IPO

Since 2001, companies have had an average age of 11 at the time of their U.S. IPOs, compared with 5 at the peak of the dot-com bubble in 1999-2000 and 7 to 9 in the previous two decades… Venture capitalist Marc Andreessen sees all of this as a sign of trouble… In Andreessen’s opinion, overregulation is largely to blame. CEOs of startups are choosing to stay private to avoid having to comply with Regulation FD, issued by the Securities and Exchange Commission in 2000, and the Sarbanes-Oxley Act of 2002, both of which helped new disclosure requirements on public companies, he said.
Read more: http://www.businessweek.com/articles/2014-07-24/ipos-get-bigger-but-leave-less-for-public-investors

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s