Cash was flowing to startup companies during the second quarter in the Pacific Northwest as venture capitalists pumped $410 million into 40 deals, including fast-growing companies such as ExtraHop Networks, Puppet Labs, Igneous Systems, Smartsheet.com and Avvo.
That was a 73 percent uptick from the same period last year in which venture capitalists invested $237 million in 39 deals in Oregon and Washington, according to the MoneyTree report from the National Venture Capital Association and PricewaterhouseCoopers.
Nationally, investments also rose, up 34 percent to $13 billion during the second quarter. That marked the largest quarterly investment total since the first quarter of 2001. The investment is coming at a good time for the tech industry, with valuations increasing and the IPO window opening (Seattle-based pet health insurance company Trupanion is set to go public this week).
“When we step back, we not only see technology as a megatrend impacting the way we live, but it’s also disrupting entire
industries by bringing the suppliers even closer to consumers,” said Mark McCaffrey, global software leader and technology partner at PwC. “And, as the value of this technology is undeniable, we see VCs as well non-traditional investors pursuing these deals more aggressively, resulting in higher valuations and larger capital investments.”
Separately, Dow Jones VentureSource released its own venture capital report, showing $13.8 billion invested during the second quarter.