Venture Capital Trends in LATAM, an overview for H1 2023 by Cuantico

August 20, 2023

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Special thanks to Cuantico´s team who´s been really collaborative with Startuplinks in order to spread the word on Latin america´s Venture capital industry status for the H1 2023.

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Latin America Venture Capital industry status

1H 2022 saw total VC investment at US$6B. However, 1H 2023 witnessed a significant decline to US $ 1.45B, a 76% decrease. Dynamic shifts in the investment landscape call for strategic considerations in the region´s business ecosystem.

Volume raised in founding rounds H1 2023 (in USD$ Millons) — Volume raised in founding rounds H1 2023

Top sectors by volume raised H1 2023 (in USD$ Millons) — Top sectors by volume raised H1 2023

Top markets by volume raised H1 2023 (in USD$ Millons) — Top markets by volume raised H1 2023

Number of funding rounds over tha last 6 quarters (in USD$ Millons) — Number of funding rounds over the last 6 quarters

Early-stage startups continue to thrive, with investors increasingly focused on this segment, at least until the declines in public markets and recessionary winds fade from the horizon.

Regarding transactions, the trend has been relatively positive, reaching a total of 544 deals in H1 2023, the majority of which were in seed stage. This represents a 45% drop compared to the first half of 2022, indicating a shift from an average of 165 monthly transactions to an average of 90 per month.