India achieved a new annual record high of over USD 12.5 billion in VC investment in 2019.
The final quarter of 2019 brought a small uptick in VC investment globally, with USD 63.1 billion in VC investment across 4,289 deals, led by a USD 6.55 billion corporate investment in The We Company – a strategic investment by Softbank following WeWork's failed IPO, according to KPMG Private Enterprise's Venture Pulse report.
Given the array of political and economic uncertainties affecting most regions of the world in Q4'19, it is notable that the Americas, China, India, and Europe all saw at least one USD 1 billion+ deal during the quarter.
After achieving a massive record of USD 126 billion in 2018, Asia-based VC investment fell to USD 73 billion in 2019. On a quarterly basis, VC investment rose slightly to USD 18.7 billion in Q4'19, led by a USD 3.7 billion Series A round by Tenglong Holding Group in China, a USD 1.7 billion raise by PayTM in India, and a USD 1 billion raise by China-based Beike.
VC investment in China remained steady quarter-over-quarter at USD 11.1 billion, although the two largest deals in China accounted for USD 4.7 billion of this total during Q4'19. With four consecutive quarters of growth – including its second highest quarter of investment in Q4'19 (USD 4.6 billion), India achieved a new annual record high of over USD 12.5 billion in VC investment in 2019. Australia also saw its second-highest quarter of VC investment in Q4'19 (USD 339 million).
As a whole, 2019 was a very strong and relatively stable year for VC funding, with USD 257 billion raised across the globe – the second highest level on record next to 2018's over USD 300 billion, according to the Q4'19 edition of KPMG Private Enterprise's Venture Pulse report. The robust results are notable given the year did not include any massive USD 10 billion+ megadeals like those raised by Juul (USD 12.8 billion) and Ant Financial (USD 14 billion) in 2018.The largest deals this quarter occurred in three different countries: US-based The We Company (USD 6.5 billion – corporate investment), China-based Tenglong Holding Group (USD 3.7 billion – Series A), and India-based PayTM (USD 1.7 billion – Series G).Get access to India's fastest growing financial subscriptions service Moneycontrol Pro for as little as Rs 599 for first year. Use the code "GETPRO". Moneycontrol Pro offers you all the information you need for wealth creation including actionable investment ideas, independent research and insights & analysis For more information, check out the Moneycontrol website or mobile app.