INVESTMENT in technology companies in the north soared by more than 50 per cent last year, with both the number of deals and average value of each investment rising, according to data from Catalyst.
Its third annual deal tracker report revealed that £44.3 million in new share capital was invested in 2019 as part of 61 deals in 55 indigenous tech companies, a 54 per cent increase in value set against the previous year.
And the average amount invested in each deal was £726,000, up more than £161,000 on the average funding level in 2018, while almost £19m of the total investment figure came from investors outside Northern Ireland.
The science park's report estimated that deals involving local companies represented 7 per cent of all venture capital activity on the island of Ireland in 2019, up from 5 per cent the year before.
According to Beauhurst, UK equity investment between March and June this year is down 46 per cent on the same time last year, although this mostly reflects lower deal flow in later stage companies.
But over the same period the level of seen funding sought by tech companies in the north has only fallen by 7 per cent, and Catalyst says that despite the uncertainty, significant funding rounds have been closed during lockdown by a number of locally-based companies including Re-Vana Therapeutics, Sonrai Analytics and Overwatch.
Alan Watts, director of funding at Catalyst said: “Despite the undoubted difficulties right now, we are confident investment in exciting Northern Ireland tech companies will continue through the rest of 2020.”
