Venture investment deals declined by almost 25% globally in 2016, with only Asia bucking the downtrend

Briefing

Venture investment deals declined by almost 25% globally in 2016, with only Asia bucking the downtrend

February 8, 2017

Briefing

  • Global Venture Capital Activity – Declined by almost 25% from 17,992 deals in 2015 to 13,665 in 2016, with investment value dropping from $141 billion in 2015 to $127.4 billion in 2016, as reported by KPMG
  • Declining U.S. Activity – Experienced highest decline and lowest investment level since 2012, with 8,136 deals in 2016 valuing $69.1 billion, $10 billion lower value than previous year
  • Lower European Investments – Dropped 15% in 2016 from 2015
  • Consistent Asia Performance – Remained constant at $39 billion, only region to experience no decline, with China investments increasing to $31 billion
  • India’s Drop – Only Asian country declining, with venture investment dropping by 60% from 2015 figures, totaling $3.3 billion
  • 2017 Outlook – More positive for 2017, as Snap is expected to file for an IPO, more companies seek exit, and healthcare and biotech startups attract more investment, followed by artificial intelligence, virtual reality and data analytics startups

Market Disruption

Sector

Healthcare/Health Sciences, Information Technology

Organization

KPMG

Source

Original Publication Date

January 17, 2017

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