CVCA’s public quarterly market overview reports provide a deep analysis of the Canadian market, offering a panoramic view of private capital trends and investments. These comprehensive reports utilize data from the CVCA Intelligence platform, Canada’s foremost private capital database. They highlight performance indicators, emerging sectors, and strategic shifts, empowering stakeholders with crucial insights for informed decision-making.

In 2025, CAD $8.0B was invested across 571 venture capital deals. Capital deployed declined 6% compared to 2024. Deal count fell 12% year over year. Activity increased in the fourth quarter, with CAD $3.8B invested across 165 deals. Quarterly deal volume approached the five-year average of 176 transactions.

All venture capital figures exclude secondary transactions, with secondary activity now being reported on separately. This treatment reflects a methodology update approved by CVCA’s Data Committee at the end of 2025. 2025 saw a total of $1.3B of additional capital raised via secondary transactions.

Average deal size increased toward the end of the year as capital deployment became more concentrated. Full-year average deal size was CAD $14.07M. In Q4, average deal size rose to CAD $23.06M.

“Q4 activity was higher than earlier in the year, but it doesn’t change how 2025 looks overall. Capital was deployed into a smaller number of transactions, and investment at the Series A through D stages remained below 2024 levels,” said David Kornacki, Director, Data & Product. “Exit conditions stayed tight, which continues to shape how capital moves through the system. In Canada, that shows up as slower progression from company formation to scale and liquidity, even when quarterly figures improve.”

Stage-level patterns diverged across the investment cycle. Pre-seed investment in 2025 matched 2024 levels. Seed-stage capital remained similar year over year, despite fewer transactions. Capital deployed at the Series A through D stages declined relative to 2024. Growth-stage investment increased in both deal count and dollars deployed. This activity was associated with larger transactions and higher participation from non-Canadian investors, which remains more prevalent at later stages.

The information and communications technology (ICT) sector accounted for CAD $5.06B across 269 deals. A small number of large transactions materially influenced this total. Life sciences recorded CAD $837M across 129 deals after the exclusion of secondary transactions. Cleantech activity totalled CAD $660M across 56 deals. Agribusiness reached CAD $251M across 39 deals, near the upper range observed in recent years.

Ontario represented just over half of total venture capital dollars deployed, reflecting the location of several large transactions. Quebec, British Columbia, and Alberta accounted for most remaining activity by both deal count and capital invested.

Venture debt financing reached its highest recorded annual level in 2025. A total of CAD $1.40B was deployed across 69 deals. Q4 accounted for CAD $679M across 19 deals. Venture debt activity increased alongside equity investment and reflected broader use of non-dilutive financing rather than substitution for equity capital.

Exit conditions remained constrained. In 2025, 29 venture-backed exits were recorded with CAD $358M in disclosed value. No initial public offerings occurred. Liquidity continued to rely primarily on secondary transactions and limited merger and acquisition activity.

In 2025, CAD $57.5B was invested across 592 private equity deals. Capital deployed increased significantly compared to 2024, while deal count declined. Fourth-quarter activity totalled CAD $4.32B across 105 deals, remaining below the elevated levels observed in late 2024 and the first three quarters of 2025.

Five deals exceeded CAD $2.5B in disclosed value. At the same time, most private equity activity remained in smaller transactions. Ninety-three percent of deals were valued below CAD $100M, consistent with historical mid-market patterns.

“Private equity investment totals in 2025 were driven by a small number of very large transactions,” said David Kornacki, Director, Director, Data & Product, CVCA.  “Outside of those deals, activity continued to sit in the mid-market, where deal size and volume have been more consistent over time. That dynamic means annual totals can shift materially based on individual transactions, even when underlying deal activity is relatively steady.”

Add-on activity and growth investments continued to account for a large share of deal volume. A higher proportion of capital was directed toward privatizations in 2025, contributing to concentration in annual totals. Follow-on investment activity declined as more capital was directed toward new platforms, acquisitions and privatizations.

Financial services, media, and security sector-related investments accounted for a large share of capital deployed due to a small number of transactions. Industrials and manufacturing remained central to deal volume. The information and communications technology (ICT) and life sciences sectors continued to attract investment, though totals varied materially depending on individual deal inclusion.

Ontario and Quebec together accounted for nearly all capital deployed in 2025. This reflected the location of large transactions and differences in reporting coverage.

Approximately 10% of private equity deals included at least one U.S. investor. Participation from Europe and Asia appeared in a small number of transactions.

Exit activity remained constrained. In 2025, 52 private equity exits were recorded with CAD $2.81B in disclosed value. No IPOs occurred. Liquidity continued to rely on mergers, acquisitions, and secondary buyouts.