And that must include late-stage venture deals, too. Two companies based in the Lone Star State ranked in the Top 10 of largest “venture” deals done in the third quarter, according to a MoneyTree Report.
As my colleague Mark Boslet already reported today, venture deal activity took a dip as investments totaled $6.95 billion during the three-month period, with 876 deals receiving funding, according to the MoneyTree Report issued by PricewaterhouseCoopers and the National Venture Capital Association, based on data by Thomson Reuters, publisher of this blog. This was a 12% decrease in dollars and a 14% drop in deals from the second quarter, though capital allocated was up 31% from a year ago.
Just under half of the money invested in Q3 went to companies at the early or even seed stage of funding, according to MoneyTree. The average seed deal was $2 million, down from $3.3 million in the second quarter, and the average early stage deal was $5.7 million, down slightly from $5.8 million.
The average “expansion” stage deal was $9.6 million, up slightly from the prior quarter. The average later stage deal was $12.5 million. That is up from $11 million in the previous quarter and represents the largest average deal size for this stage in a decade.
For the 10 companies in the following slideshow, all raised either expansion or late stage funding. Combined, the top 10 raised just over $1 billion during the quarter, or about 13% of the total raised by all U.S. companies.
By the way, I politely disagree with my colleague Mark that some of the 10 deals listed here are “venture,” as designated by the MoneyTree. I argue that if you’re a 9-year-old company, and you’ve raised more than $483 million, you can’t call the latest funding venture-related. After you go through the list and you see the top money raiser, let us know what you think.
Location: Palo Alto, Calif.
Raised in Q3: $68M
Total Raised: $255M
Description: Develops data analysis software
Select Investors: The Founders Fund
- VCs Put More Money to Work in Fewer Deals in Q1: Report
- Venture Investing Retreats in Q3, But Booming Software Deals Counter Trend
- Shaking The MoneyTree: VC Investment (Still) Rises in Q2
- Slideshow: 15 Largest U.S.-based Venture Funds Raised in Q3
- Internet Deals Lead Exit Markets To Solid Second Quarter With Valuations Higher