Contact: Tom Still or Joe Kremer at 608-442-7557
To learn more online: www.wisconsintechnologycouncil.com
MADISON, Wis. – Investments in young, Wisconsin-based companies by angel and venture capitalists and other equity investors totaled $248.4 million through June 30, topping the dollar total through the same six-month period in 2023 by more than $100 million.
That total of $248.4 million in angel and venture capital was invested in 36 companies, according to preliminary data gathered by the Tech Council Investor Networks, compared to $147.1 million in 25 deals in the first six months of 2023.
The average deal size of $6.9 million through June 30, 2024, shows the larger investments are still happening as Wisconsin companies grow. The six-month average a year ago was $5.88 million.
The median deal size through June 30, 2024, was $1.51 million compared to $2.33 million in early 2023, which indicates smaller deals were also an encouraging part of the mix.
“Fifteen of the 36 companies raised less than $1 million, which is a good sign for young companies in Wisconsin that may be seeking early funding rounds,” said Joe Kremer, director of the Tech Council Investor Networks. The TCIN is a program of the Wisconsin Technology Council.
The largest deals recorded through June 30 reflected Wisconsin’s expertise in health care innovation. They were: Elephas Biosciences ($55 million); Fetch ($50 million); Leo Cancer Care ($40 million); Moxe Health ($25 million) and Sift Healthcare ($20 million). Overall, about 60% of the dollars raised through June 30 ($149.2 million) were in health care. Another 32%, or roughly $80.4 million, was invested in information technology companies.
“Wisconsin may once again be following a national early stage investing trend,” Tech Council President Tom Still said. “According to the National Venture Capital Association, deal-making data in the second quarter of 2024 showed an uptick. While it’s still too early to claim a rebound in deal activity, the market may have bottomed out. Companies that raised two or three years ago and had delayed more financing by cutting costs may be returning to the market for more financing.”
In late July, the Tech Council released its annual “Wisconsin Portfolio” report, which has tracked early stage investing on a calendar year basis since 2008.
Using public reports, filings, proprietary investor surveys and more, the Tech Council tracked a total of $490,212,800 in 107 companies in 2023. That was down from the 2022 total of $640.2 million, but still the third-highest investment total on the books and also consistent with overall national trends.
Over the nine-year period beginning in 2015, Wisconsin early stage companies have raised nearly $3.5 billion – and more than $2 billion in the last three years alone. There were $209.5 million in early stage investments in 2015, $276.5 million in 2016, $231 million in 2017, $300.7 million in 2018, $454.4 million in 2019, $483.6 million in 2020 and nearly $869 million in 2021.
“With the support of an ever-increasing early stage investment community, entrepreneurial activity will continue to increase statewide – especially as some of the overall economic conditions affecting the sector begin to sort themselves out,” said Joe Kremer, director of the Tech Council Investor Networks. “The birth of the new Wisconsin Innovation Fund, managed through the Wisconsin Economic Development Corp., is also likely to help as the year rolls on.”
The 16th annual Wisconsin Portfolio report is online at www.wisconsintechnologycouncil.com and available in a print magazine format for those who want to order copies through julie@wisconsintechnologycouncil.com. The print version includes all charts and features.
Thanks to report sponsors: AT&T, Baird Capital, Exact Sciences, Golden Angels Investors, HealthX Ventures, Husch Blackwell, Madison Development Corp., State of Wisconsin Investment Board, University Research Park, UWM Research Foundation, Venture Investors and the Wisconsin Economic Development Corp.
The Tech Council Investor Networks are among major Tech Council programs and projects. They include the Tech Council Innovation Network, the Governor’s Business Plan Contest, the Wisconsin Entrepreneurs’ Conference, the Wisconsin Tech Summit, the Wisconsin Early Stage Symposium and the SWIFT Entrepreneurs project. To learn more or to join TCIN, visit: http://wisconsintechnologycouncil.com/investors/membership/Bottom of Form
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