Arlington, Va. - Exits by venture-backed companies continued their drought during the third quarter, according to new data by Thomson Reuters and the National Venture Capital Association (NVCA).

There was just one venture-backed IPO in the quarter, as well as a modest 58 M&A exits.

During the first three quarters of this year, venture-backed companies have had six IPOs -- the lowest figure for the first three quarters of a year since 1977.

"The crisis in the financial markets has further exacerbated an already troubling situation in that most venture-backed companies are postponing or abandoning an IPO exit for the foreseeable future," said Mark Heesen, president of the NVCA.

"Should the current situation be prolonged into 2009, we can expect fewer new investments by the venture industry as they will need to spend their time with these later stage companies that are waiting to go public or be acquired."

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