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CVCs remain a steady investor in 2022


This is what they are looking for

center of the project Industry financing slows down in 2022 Non-traditional investors like hedge funds and private equity firms have run for the hills. Many assumed that corporate venture capital funds would be like that – but they didn’t.

These strategic backers have been holding steady in 2022, and according to PitchBook data, they’ve already increased their presence in project deals. In 2022, CVCs were involved in 26.2% of project deals, up a hair from 2021’s 25.6%. While this is by no means a meaningful change, it stands out because every other class of cross-investors has gotten involved. less in 2022 for 2021.

While venture capital firms’ regular fundraising is not expected to be particularly strong this year – and overall funding has continued to soften so far – there are signs that corporate venture capital will remain a steady source of funds in 2023.

Scott Linnett, co-founder and president of Touchdown Ventures, which helps companies create their own CVCs, told TechCrunch+ that the company is getting more entrants than ever from companies looking to start their own fund.

The volatility of the past few years has led to more funds looking to put up capital, which should be welcome news for startups. In addition, having investor backing that is not tied to a particular fund’s life cycle in an uncertain exit environment definitely has its appeal.



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