In a thriving startup and tech ecosystem, following the stacks of venture capital investment is an excellent measure of the community's financial health.
Only in the third quarter of the year and the nation’s VC ecosystem has already passed its number of deals in 2017. According to a report released by PitchBook and the National Venture Capital Association, 2018 has secured more than $50 million in VC deals and 378 rounds, surpassing the 292 deals in 2017. The agency attributes this increase to non-traditional VC and tech investors.
Overall, the trend of large amounts of capital in fewer investments has continued in the VC world, according to PitchBook. In addition to a healthy fundraising environment, there also appears to be a lively IPO market, providing returns to LPs and capital for reinvestment.
At $27.9 billion in Q3, capital investment has grown to $84.3 billion total in 2018 so far---a record setting amount of capital, according to the report.
Seed-stage investments have tapered off, as the wave of new angel and seed investors that influenced the market earlier in the decade have reduced.
Not only does the 3Q 2018 PitchBook-NVCA Venture Monitor provide a complete overview of VC activity through Q3 of this year, it also details Georgia-specific data about investments, exits and other key indicators.
Here's the breakdown:
Deal Flow
In Georgia, Q3 2018 falls significantly behind the total capital invested this time last year. The state saw 26 deals accumulating $204.5 million total, compared to $565.7 million and 41 deals in Q3 last year.
According to the metropolitan statistical area breakdown, the Atlanta-Sandy Springs-Marietta region accounted for 24 of the 26 deals, totaling $190.15 million. Comparatively, the metro area accounted for 40 deals and $562.1 million in the same quarter last year.
Top U.S. Deals
Georgia startups are nowhere near the top U.S. VC deals in Q3 of 2018. New York and California startups dominated the top of the deals, including Peloton’s $550 million Series F round and Letgo's $500 million VC round. Georgia's top deal in the quarter, with Surterra Wellness at $65 million, was ranked at No. 84 on the list.
Top 10 Georgia Q3 2018 Deals
- Surterra Wellness, 8/6, deal size: $65 million
- Maxex, 9/24, deal size: $38 million
- Patientco Holdings, 7/25, deal size: $27.5 million
- Terminus, 7/23, deal size: $11 million
- Flock Group, 8/22, deal size: $9.59 million
- Steady, 8/6, deal size: $9 million
- Bark, 8/29, deal size: $9 million
- Rimidi, 7/10, deal size: $6.58 million
- ArunA Biomedical, 7/19, deal size: $5.38 million
- LiveSource - The Supplier Collaboration Network, 9/24, deal size: $4.5 million
Top Georgia Q3 2018 Exits
Though PitchBook documents at least two exits for Georgia in Q3, no dollar amounts are recorded.
