Fewer IPOs and Mergers and Acquisitions for 2008

Given the economy of 2008, it is unsurprising that many businesses decided it was neither the time to go public or to expand. The 4th quarter of 2008 was particularly ghost-townish as no IPOs were completed... bringing the total US IPOs to an astounding 7.

There were a handful of mergers and acquisitions, including the largest which was Dell's purchasing of EqualLogic, a data storage company located in New Hampshire. Ebay also purchased Bill Me Later for clost to $1billion in the 4th quarter. The popular payment method offered by Bill Me Later allows purchasers to pay for a product later - instant online credit. The method is particularly popular on sites like EBAY where individuals may want to hold off on paying for products when they can't necessarily trust the seller. This deal should prove profitable for both companies.

Venture capitalists continue to expect 2009 to be equally frustrating and slow. Many are indicating their interest in focusing on improving the businesses they already fund, rather than spreading their assets any thinner.