The Q4 2021 “PitchBook-NVCA Venture Monitor,” sponsored by Insperity, captures the frenetic pace of dealmaking, exits and fundraising in 2021 that toppled previous records, even as the pandemic’s future trajectory remains unknown.
As described at this link where the report can be downloaded, the year-end highlights include:
- U.S. venture capital (VC)-backed companies raised nearly $330 billion in 2021, nearly double the previous record of $166.6 billion raised in 2020.
- Nontraditional investors such as corporate venture funds, hedge funds, private equity firms, and sovereign wealth funds participated in nearly 77 percent of total annual deal value.
- Exits were a huge part of the story of 2021, with more than $774 billion in annual exit value created by VC-backed companies that either went public or were acquired.
- Early stage VC deal activity in 2021 nearly doubled the prior record and eclipsed $80 billion for the first time ever.