Global VC investment dropped to $75.9 billion across 7,520 deals in Q1’24, driven by ongoing concerns about geopolitical tensions, the lack of exits in the market, and a noticeable pullback in investment at the later deal stages. In Singapore, VC-backed companies raised $998.5M across 171 deals.
KPMG Private Enterprise’s quarterly report highlights the key trends, opportunities, and challenges facing the VC market globally and in key jurisdictions around the world. 2023 was a very challenging year for the VC market globally, as a number of factors combined to drive up uncertainty and investor caution, including geopolitical conflicts and tensions, high interest rates and levels of inflation, ongoing concerns about valuations, and the incredibly dry exit environment. Both global VC investment and the number of VC deals significantly dropped year-over-year, with all regions experiencing major declines.
In this quarter’s edition of Venture Pulse, we examine these other global and regional trends, including:
- The ongoing surge of investment into AI
- The intensifying focus on profitability
- The growing prominence of down rounds
- The significant slowdown in the time to complete deals
- The lack of exit opportunities across regions
Asia outlook & insights
Looking forward to Q2’24, VC investment in Asia is expected to remain relatively steady. While the consumer market is expected to continue to recover, any changes will likely occur at quite a slow pace. AI will likely continue to attract large deals, in addition to ESG related technologies — from battery technologies to EV value chain businesses and semiconductors.
- VC investment reaches only $18.9 billion across 2,305 deals
Exits activity, including IPOs, has slow start to the year
VC investment in India has strong start to 2024
Early-stage activity remains resilient
Chinese companies raise 8 of largest 10 deals in Asia
For more insights into key trends, opportunities and challenges facing the VC market globally and across regions, download our full report.
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