VC & PE Canadian Market Overview // H1 2016

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Summary

The CVCA’s VC & PE Canadian Market Overview report is Canada’s authoritative summary analysis of private capital investments, exits and fundraising activity relied on by government and private sector groups that drive the nation’s innovation.

Read this report if you are interested in:

  • Understanding most recent private VC & PE investment against historical context,
  • Identifying top trends in the private capital asset class,
  • Identifying hot spots for investments by sector and province,
  • Identifying most active investment firms.

This is the second report of four installments this year. All data in this report has been sourced from CVCA Infobase, a proprietary database containing over 2,800 venture capital and private equity deals across over 2,600 Canadian companies. Click here for a full description of how to become a CVCA Member to obtain access to Infobase.

H1 2016 Highlights

Venture Capital Highlights:

  • $128M VC investment in DalCor Pharmaceuticals, a CVCA life sciences sector record
  • $100M VC investment in Real Matters, a cloud-based provider of property information services
  • A CVCA agribusiness record: FarmersEdge gets a $58M infusion
  • Ontario leads the provinces in VC financings (44 per cent), followed by 28 per cent in Quebec and 19 per cent in BC
  • 50 per cent of investment dollars went to late-stage deals, versus 38 per cent in 2015
  • Q1 was a historic high for VC where the average deal size was $7.1M. While that dropped to $5M in Q2, that’s still 6 per cent higher than the average deal size from 2013 to 2015
  • Information and Communications Technology (ICT) continues to lead the growth
  • There was $691M in new funds raised in H1, down 32 per cent from the same time last year

Private Equity Highlights:

  • Average PE Deal size in H1 2016 was $25.1M, down 27 per cent from the same period last year and significantly lower than the average deal size between 2013-2015 ($74.4M).
  • Quebec captured 29 per cent of PE financings, an increase over both 2015 (24 per cent) and 2014 (14 per cent)
  • Quebec is a now a close second to Ontario (32 per cent) in PE investment
  • Oil and gas continue to decline due to global oil prices with only $2.6M invested over 15 deals
  • Activity led by CleanTech and driven by fewer, though higher-priced deals:

Read the Reports

VC & PE Canadian Market Overview Reports:

English Market Overview Report

French Market Overview Report

VC & PE Quebec Market Overview Reports:

English Quebec Report

French Quebec Report

Read the Media Releases

H1 2016 Canadian Media Releases:

English Media Release

French Media Release

H1 2016 Quebec Media Releases:

English Media Release

French Media Release