Small and Medium scale firms in Ireland recorded massive venture capital which increased by a third in Q3 contrasting what it recorded around the same period last year.
A recently released data from IVCA, the Irish Venture Capital Association reveals that between July to September, businesses secured €309 million, compared to the €230.6 million that was recorded one year ago.
Additional data from VenturePulse survey has shown that Irish companies have successfully raised more that €1 billion venture capital funding this year. Compared to the first nine months of 2021, this stats points to one quarter increase so far.
The bulk of the €1 billion accessed in Q3 was secured from two mega deals involving €30 million and five other deals involving between €10 million to €30 million. 28% of the total funding secured was raised by the cybersecurity and FinTech sectors respectively, making then the leading sectors in the Irish ecosystem.
The IVCA described this as a positive performance. According to IVCA Chairperson Leo Hamill: “In view of continuing global uncertainty, this is an encouraging outcome for the indigenous technology sector and compares favourably to Europe where funding year on year for the third quarter fell by 35% and by 44% for the nine months.”
It is a contradiction however that under the €10 million category, and €1 million sub category, the volume of deals dipped by 54%, and €41 million respectively.
The director general of IVCA Sarah-Jane Larkin attributes these contradictions to the prevailing global situation. In her words; “the softness in these two categories probably reflects uncertainty over the global economic outlook combined with the impact of the Russian war against Ukraine.”
The IVCA is however maintaining an optimistic leaning regardless of the uncertainties affecting these lower value areas.
As originally reported in (https://www.rte.ie/news/business/2022/1127/1338629-vc-funding-given-to-irish-firms-dropped-a-third-in-q3/)
