Shares in start-ups are sinking in private trading as a sell-off in public technology companies and a pause in new listings send shockwaves through Silicon Valley.
Forge Global, one of the largest venues for trading in private start-ups, said the prices of companies on its platform had fallen 19.9 per cent in February and March compared with the fourth quarter of last year.
Zanbato, which operates a dark pool for shares in start-ups, said its index tracking more than 100 of the most widely traded private companies had fallen by 1 per cent during the first quarter this year. The index’s last negative quarter came in mid-2020, when the spread of coronavirus caused turbulence in private markets.