The A123 Systems IPO raised $380.1 million in the third quarter, the largest IPO since May 2007. The 8 IPOs in 2009 are better than the 6 in 2008, yet far shy of 2007’s 86 venture backed IPOs. These numbers, while a little better than 2008, demonstrate the current sluggishness of the market. M&A deals are also showing similar signs with 189 deals so far in 2009 versus an average of 361 for the previous three years.
While this data gives only a narrow perspective on the markets, it does invite the comparisons of CleanTech based ventures vs. other sectors in a capital constrained economy. Can cleantech ventures fare better than other sectors due to their unique qualities? (Sectors that satisfy inelastic demand, geopolitcal preferences, environmental concerns, and at times a hedge to increasing commodity prices.)