A total of 5,662 venture capital (VC) funding deals with disclosed funding value were announced in the Asia-Pacific (APAC) region in 2022, which is a decline of 3% compared to 2021, which is relatively lesser compared to the declined experienced globally. The growth in low value deals* volume managed to minimize the impact of the decline experienced in deals volume across other funding ranges in the region, according to GlobalData, a leading data and analytics company.
Aurojyoti Bose, Lead Analyst at GlobalData, comments: “Growth in low value deals volume is in contrast to the global trend wherein VC deals volume across all the funding ranges reported decline in 2022 compared to the previous year.”
An analysis of GlobalData’s Financial Deals Database reveals that the number of low value deals increased from 3,305 in 2021 to 3,563 in 2022 while VC deals volume across the other funding ranges registered decline with big-ticket deals suffering the worst setback.
The APAC region saw the announcement of only two VC deals valued more than $1 billion in 2022 as compared to announcement of nine such deals during the previous year. Similarly, the number of deals valued more than $100 million also decreased from 346 in 2021 to 178 in 2022.
Bose concludes: “Investor cautiousness amid the challenging market conditions seemed to have prevented VC investors in committing big investments. While the volume of deals valued more than $100 million fell significantly in the APAC region in 2022 compared to the previous year, billion-dollar deals mostly remained non-existent.”
*Investment value less than or equal to $10 million
