Utah venture deals jump

Increase in transactions is seen as a sign of state’s economic rebound

A sharp jump in venture capital deals in 2004 indicates Utah’s economy is rebounding, according to a report issued Thursday.

Utah Deal Flow Report 2004, a comprehensive publication of financial transactions issued annually by the MountainWest Capital Network, showed a 38 percent overall upswing in investment transactions over 2003. The total number of venture capital deals increased 60 percent, and the amount of money involved rose 75 percent.

"The numbers clearly indicate that Utah’s economy is on the rebound," said Deal Flow report chairman Scott Young.

"If venture capitalists are going to make a bet on a company, they are only going to make that bet if they think they are going to get a return on their money," Young explained. "When these companies get more money, that creates more jobs, that puts more money in people’s pockets – which spurs the economy."

By Glen Warchol
The Salt Lake Tribune

Full Story: http://www.sltrib.com/business/ci_2611769