2017 was the biggest year yet for Nasdaq Private Market with $3.2 billion in private secondary transactions, a 3x increase from 2016. This meaningful increase was driven by 51 total transactions facilitated by Nasdaq Private Market in 2017, a 60% increase from 2016.
Secondary Market 2017 Retrospective Infographic
Secondary Market 2017 Retrospective
In this report, we will dive into a notable year in the private market highlighting collaboration with the lawyers on the front lines of private company transactions, data we have collected as a market leader in private tender offers and buybacks, and themes that emerge from the data.
1H 2017 Private Company Report
The first half of 2017 was the busiest period to date for private company liquidity programs conducted on the Nasdaq Private Market platform. Companies continue to use partial, controlled liquidity as a valuable recruitment and retention tool while growing privately. In our 2017 Mid-Year Private Company Report, we break down the liquidity program activity on the NPM platform during the first half of 2017.
NPM Alternatives Overview
Rapid growth in alternative investments in the past decade has resulted in increased interest from high-net-worth investors and smaller institutions. But the lack of liquidity in these products leaves these investors cautious of participating. New innovations are needed to further open up these investment opportunities.
SEC No-Action Relief Letter
Nasdaq Private Market was granted limited exemptive relief by the SEC from Rule 102 of Regulation M under the Securities Exchange Act of 1934. This exemption allows Nasdaq Private Market to conduct periodic liquidity auctions for certain ‘40 Act products.
2016 Private Company Liquidity Report
Liquidity continues to be an important recruitment and retention tool for private companies. As companies stay private longer, they are using private tender offers (otherwise known as “liquidity programs”) to offer their employees and shareholders partial, controlled liquidity through NASDAQ Private Market’s Private Tender Offer solution. In our 2016 Private Company Liquidity Report, we analyze the 32 liquidity programs ($1BN+ in private secondary volume) conducted on our platform in 2016.
1H 2016 Private Company Report
Momentum in activity in the private company secondary market continued in the first half of 2016 admist softening valuations and a slowdown in the IPO market. Read our 2016 MId-Year Private Company Report to find out what happened.
Best Practices for Running a Private Tender Offer
The number of late-stage private companies conducting periodic private tender offers for shareholder liquidity has skyrocketed in the last few years. However, while private tender offers are becoming increasingly commonplace in the private markets, many companies seem to struggle with how to efficiently conduct them. This whitepaper gives a comprehensive overview of the considerations, mechanics and best practices for running a private tender offer.
RAISE Act Infographic
As a market leader in helping private companies facilitate secondary transactions, we analyzed liquidity programs facilitated by our technology platform during the past two years to determine whether the level of disclosure provided by issuers in those programs would have satisfied the Section 4(a)(7) information requirements of the RAISE Act.
2016 SXSW Private Company Survey
NASDAQ Private Market conducted a survey of founders, executives and employees from start-up companies attending the South by Southwest (SXSW) Interactive Festival in Austin, Texas. Nearly half of the company respondents believe their companies will remain private indefinitely, representing a 62 percent increase in related sentiment from 2015. An overwhelming majority – 80 percent – say that employees should have the opportunity to sell a portion of their shares before an IPO or exit.