Plagued by some of the same dynamics that depressed global PE activity in the first quarter of 2016, the Canadian market experienced a similar decline last quarter, with total transaction value declining nearly 16% QoQ amid a rather noticeable 33% quarterly decline in volume. However, with a well-capitalized banking system eager to back deal sponsors, and a continued surge in smaller platform and add-on transactions, activity in the region should settle into a new normal.
Venture activity last quarter came in fairly healthy. Even though deal count declined slightly, investors poured C$880.7 million across 103 rounds. Median round sizes remained elevated after last year’s spike, buoyed by a couple high-profile raises.
PitchBook’s 2016 Canada PE & VC Breakdown: I, the first of our two Canadian publications this year, analyzes trends across PE and VC investment in Canada, assessing how activity has shifted over the past years in terms of sector, size and more. The report also includes: