CVCs concerned in additional than 1 / 4 of offers to this point in 2022

Final yr’s record-breaking enterprise funding totals have been fueled by crossover traders starting from hedge funds to personal fairness companies. When market situations soured firstly of 2022, most individuals assumed that every one the nontraditional enterprise backers would retreat this yr as properly.

That hasn’t occurred.

As enterprise capitalists and vacationer traders have pulled again, CVCs have continued to develop their presence and stake in enterprise offers.

In keeping with PitchBook information, CVCs have been concerned in 2,275 offers, collectively valued at $81.5 billion, this yr by way of the third quarter. Whereas this yr isn’t on monitor to match 2021’s document CVC participation when it comes to capital invested — $151.6 billion — 2022 has already handed 2020’s prior document of $78.1 billion.

However what’s most attention-grabbing from the Q3 information is the truth that the share of offers that embody a company investor is at a document excessive to this point in 2022. Greater than 1 / 4 of U.S. enterprise offers this yr, 25.6%, included a company backer, up a complete share level from 2021.

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