Venture capital investments in New England companies
jumped to $870 million invested in 109 companies in the third quarter of 2013,
according to the Money Tree Report by PriceWaterhouseCoopers and the National
Venture Capital Association based on data from Thomson Reuters.
But only one of those companies is in Rhode Island,
netting a total of $499,000. The third
quarter dollar amount represents a 98.5% decrease over investments in Rhode Island companies
in the second quarter, when $33,308,000 was invested in 6 deals.
What happened? A
total of $53,508,000 had been invested in 9 Rhode Island companies in the first
half of 2013. This is the lowest
investment level in Rhode Island companies since 2007, when only $5 million
was invested in the entire year! Is it just a random occurrence? Or is it a sign that, despite all the hype,
Rhode Island government and institutions still are not really invested in
creating an environment in which start-up companies can flourish similar to
those in Massachusetts and California?
At the same time, investment levels across the U.S.
climbed. Nationally, venture capitalists
invested $7.8 billion in 1005 deals in the third quarter. This represents an increase of 12% in dollars
and a 5% increase in deals compared to the second quarter of 2013, when $7.0
billion was invested in 956 deals. The
Software, Biotechnology and Medical Device sectors received the most investment
dollars for the quarter. Investment in
Internet companies also held steady, with $1.5 billion being invested in 252
deals.
Locally, the only company to receive an investment in the third
quarter of 2013 is:
·
Neurotech USA, of Cumberland, received a follow-on
investment of $499,000 from Versant Ventures Inc., after receiving a $7,000,000
investment in the second quarter.
Neurotech is developing sight saving therapies for chronic retinal
disease.
Related Posts:
Venture Investments in RI Companies Jump in Q2 2013
Venture Investment Dollars in RI Companies Fall in First Quarter 2013
Venture Investment Dollars in RI Companies Soar in 2012
More Venture Dollars Find RI in 4th Quarter
Venture Dollars Find RI in Second Quarter 2011
Venture Investments in RI Companies Jump in Q2 2013
Venture Investment Dollars in RI Companies Fall in First Quarter 2013
Venture Investment Dollars in RI Companies Soar in 2012
More Venture Dollars Find RI in 4th Quarter
Venture Dollars Find RI in Second Quarter 2011
