Irish tech firms raised €62.6m in the first half of 2007, down €21m from the €83.7m raised in the same period last year, according to the Irish Venture Capital Association (IVCA) Techpulse survey.
“Many of the major venture capital (VC) companies have been in fund raising mode during 2007 but despite this, our survey suggests that there is plenty of funding still going on,” commented Regina Breheny (pictured), director general, IVCA.
The number of Irish companies raising funds has increased from 19 in the first half of 2006 to 31 this year.
Amounts raised vary between €200,000 and €8 million.
“Despite the overall reduction in deal value, the year to date has seen a highly active VC market with a wide variety of tech sectors being supported,” added Regina Breheny.
The biggest growth has been in the drug delivery and medical devices market where nine firms raised €17.4m, up from zero last year.
In the telecoms sector five companies raised €16.4m. This compares to six telecoms firms raising €21.1m in 2006. 17 other technology firms, including nanotechnology, raised €28.8m.
Funds were supplied by 12 Irish VC companies and 13 international. This compares to nine Irish and 13 international last year.
“It is good to see Irish VC firms remain active in the market and also that the Irish tech sector continues to attract the interest of overseas players,” added Regina Breheny.
“A buoyant venture capital market is a central plank in helping to create a knowledge based economy and reduce our over dependence on property,” Breheny said.
By John Kennedy