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1.00 0.25 0.50 0.75 1.00 1.25 1.50 1.75 2.00 Ting Gootee is the President and CEO of TechPoint. (Photo provided by TechPoint)
Venture investment in high-tech fields in Indiana fell significantly in the third quarter compared to the first half of this year, according to a new report.
Tech companies in the state received a total of $51.3 million in venture funding from a total of 27 deals last quarter, according to the third quarter venture report released this week by Indianapolis-based TechPoint. This is down from 46 deals totaling $215.8 million in the second quarter and 29 deals totaling $348.9 million in the first quarter.
In the third quarter of last year, Indiana tech companies received a total of $93.9 million in venture funding from 19 deals.
TechPoint CEO Ting Gootee said he was not surprised by the report’s findings, noting that the third quarter is traditionally a time when venture capital activity slows.
“I think this data is actually pretty accurate in terms of what we’re seeing across the field and what’s happening to founders and investors,” Gooty said.
Gooty said venture investors remain cautious given the slowdown in the tech industry that began in mid-2022. He also said investment activity also tends to slow amid uncertainty surrounding elections.
But Gooty said he is “cautiously optimistic” about the venture market, especially given the network of entrepreneurial support available from Indiana, its universities and organizations like TechPoint.
Carmel-based MBX Biosciences Inc.’s initial public offering last month is also encouraging, Gooty said. Founded five years ago, the company develops treatments for a variety of endocrine and metabolic diseases.
Because MBX is a bioscience company, its initial public offering is not part of TechPoint’s Q3 Venture Report. But the deal is a sign of market confidence and will provide liquidity to early investors in MBX, who can then use their funds to invest in other companies in Indiana, Gooty said.
The full report is available here.
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