Global investments totaled $77.05B across 7,435 deals — Venture Pulse Q3ʼ23

KPMG has released a new Venture Pulse report, a global overview of key trends in the venture capital market in the world for Q3 of 2023. This quarter was tranquil for the worldwide venture capital market, while deal activity in Europe increased slightly compared to the previous quarter.

AIN.Capital highlights the key theses of the study.

Global trends

  • The volume of venture investments decreased to $77.05 billion across 7,435 deals ($77.4 billion across 7,783 deals in Q2 respectively).
  • The level of down rounds remained relatively high compared to historical norms.
  • The average size of late-stage deals around the world is falling year-over-year.
  • Activity in the IPO market is growing, while the mergers and acquisitions (M&A) market remains stalled.
  • The top ten deals on a global scale took place in 6 different countries. Among them are the following agreements:
    • Anthropic — $4 billion in the US.
    • Verkor — $2.27 billion in France.
    • GTA Semiconductor — $1.87 billion in China.
    • H2 Green Steel — $1.63 billion in Sweden.
    • RoxMotor — $1 billion in China.

Europe experiences small growth

  • Investments in Europe remain cooled — $17.3 billion invested in 1,671 deals.
  • The value of investments in late rounds (D+) decreased compared to last year.
Venture Pulse Q3 2023
Image: Venture Pulse
  • Deals in the Enterprise and Healthcare sectors continue to be at a high level. AI continues to grow actively compared to other industries, for example, fintech.
  • Cleantech and Energy startups remained attractive to venture capital investors in Q3 2023, with investments showing diversity in terms of both product and geography.
  • The biggest deal of the quarter is the investment of $2.3 billion during the C round for the French company Verkor.
  • The ten largest deals are distributed among six countries, with the UK, France, Sweden, Switzerland, Germany, and Israel leading the way.