Do publicly backed venture capital investments promote innovation? Differences between privately and publicly backed funds in the UK venture capital market

The investment strategies of publicly sponsored venture capital funds

This paper investigates the effects of public ownership on the investment strategy of hybrid VC funds. We exploit a unique dataset containing data for all of the venture capital funds in Europe that received financial support from the European Investment Fund (EIF) during the years 1998–2007. The dataset includes 179 VC funds that invested in 2482 companies. We find that the level of public own...

Finance , Innovation & Growth ( FINNOV ) Innovation in Venture - Capital Backed Clean - Technology Firms in the UK

Innovation in Venture-Capital Backed Clean-Technology Firms in the UK

Copyright and Moral Rights for the articles on this site are retained by the individual authors and/or other copyright owners. For more information on Open Research Online's data policy on reuse of materials please consult the policies page. FINNOV is funded through Theme 8 of the Seventh Framework Programme of the European Commission (SocioEconomic Sciences and the Humanities), under the topic...

Prediction of Equity Values for Venture Capital Backed Firms

This study investigates the predictability of firm values for venture capital-backed firms. Having insights into the internal documents of more than 300 venture capitalists, we derive three common categories of firm value drivers: team characteristics, firm and market characteristics, and accounting information. Based on these value drivers, we provide a regression based valuation approach, whi...

Investment Bank Compensation in Venture and Non-Venture Capital Backed IPOs

We address two puzzles of the IPO literature: (1) Why do investment banks earn positive profits in a competitive market? And (2) Why do banks receive lower gross spreads in VC backed IPOs? We model the IPO procedure as a two-stage signaling game. In the second stage banks set offer prices given their private information and the level of the spread. Issuers anticipate the bank’s pricing decision...