Q1 2025 Global VC Investment Transactions and amounts for deals against a year ago | Nvca

Global risk capital transactions decreased in the first quarter of 2025 compared to the same quarter a year ago, according to a report from the National Association for Risk Capital (NVCA) and Pitchbook.

There were 3155 deals in the Q1 2025 compared to 4 282 deals in Q1 2024. In Europe, there were 1852 transactions in the Q1 2025 in Europe, compared to 2 917 deals a year earlier; In Asia, the number of transactions is 2 063 in Q1 2025, compared to 3.111 years earlier; In Latin America, the number of deals is 156, compared to 225 years earlier. And in the rest of the world there were 325 deals in Q1 2025, compared to 561 deals a year earlier.

In the first quarter of 2025, the M&A outputs for VC -backed companies also decreased, with the deal worth $ 78.2 billion for $ 636, compared to an average of $ 80 billion for $ 726 per quarter of 2024.

Asian results

Melanie TNG, a private capital analyst in the Asia-Pacific region, said in the report that the activity of the VC deal in APAC remains muted in Q1 2025, continuing a multi-year caution trend in the background of macroeconomic uncertainty.

“The number of transactions has decreased, but the total invested capital has increased sharply, led by bigger circles in B2B space. Binance raised $ 2 billion, which was the biggest deal in Asia,” TNG said.

Output activity continues to fall behind in Asia, falling to only 95 outputs in Q1 2025, the lowest after Q2 2019, TNG said. Historically, markets in the region are struggling with permanent channels to exit, especially since many remain relatively in the development of stable financial ecosystems. The output drought also affected the raising of funds, which was left muked as LPS expects more clear signs of liquidity.

TNG said information technology remains the best sector through the number of transactions, supported by the permanent impulse in AI and the digital infrastructure. This trend was also supported by strategic initiatives led by the government, especially since geopolitical tensions continued to stimulate the impetus to technological sovereignty in developed Asia.

South Korea, for example, launched a 34 -trillion KRW fund in February to return avant -garde industries such as semiconductors, batteries and biotechnology. In March, China also announced the State Water Fund for the support of modern production and strategic technologies.

US results

Kyle Stanford, director of the American Venture Research at Pitchbook, said the US market has become a very developed between a handful of companies capable of raising an endless sum of money and the rest of the market that continues to fight for capital shortages.

About 71% of the total value of the US deal went to invest in AI. This amount is highly prejudiced by the Openai $ 40 billion circle. Although it excludes this transaction, AI still covered 48.5% of the total number invested in the quarter of 1/3 of the completed transactions.

“The starting activity showed signs of excitement via Q1 with the high -profile IPO of Coreweave, the announcement of the acquisition of WIZ (will still be completed) and several other famous IPO submits,” Stanford said. “However, beyond these few transactions, the liquidity market remained submissive. Only 12 companies have completed public lists and concerns of liquidity abound in the market.”

The lack of allocations continues to press the market for fundraising funds. Only $ 10 billion new commitments were closed through the Q1, which put the year in the pace for the lowest fundraising environment since 2016.

Outputs

Navina Rajan, Europe/Middle East/North Africa Senior Analyzer of Private Capital said the European value of VC in Q1 was below last year, as the first quarter of 2025 shows signs of a more precautionary environment and uncertainty felt by the wider macroeconomics.

In vertical, AI moved to the highest ranked vertical by the value of the transaction, as life sciences and Fintech also showed stability. Probably the activity and the ranking will evolve as we move during the year.

The output value also saw a soft start to the year. Despite the recent market variability, we still expect IPO activity to pick in Europe, as valuations and instability remain in favorable thresholds for the IPO window.

“The capital, collected by the European-based VC funds, had a mild start of the year, in which most of the closure were sitting in smaller brackets. The largest closed vehicles so far have been outside the United Kingdom so far. The emerging managers have also won a share of the fund with several funds for the first time,” Rajan said.

Latin America results

And Stanford said VC investments in Latin America have reached $ 1.4 billion in Q1, the strongest quarter for the deal after the Q3 2022. Several large deals have led to a value, including an investment of $ 376 million in the Ualá digital banking app. The number of transactions drops approximately 20% quarter, coming the lowest since 2020.

Only two VC funds were closed with new engagements in Latin America via Q1. Only 22 funds have been closed since the beginning of 2024, with less than $ 600 million in common engagements. This will have an impact on short -term transactions without increasing foreign investment. The lack of exits continues to weigh on the VC market in Latin America.