$199.4M VC invested in Chicago in Q3 2016


DJX VentureSource released its Q3 2016 venture capital report, which tracks investments into companies that have received at least one round of venture funding. Just under $200 million was invested into Chicago area companies in Q3 2016, comparable to Q3 last year. The number of investment rounds increased to 25 rounds in Q3 2016 compared to 18 in Q3 2015.

The following chart displays Chicago’s performance from Q3 2009 – Q3 2016.¹

VC Rounds and Invest 2009-16 101816

The following charts compare Chicago’s Q3 2016 performance with other select metro areas, followed by lists of major VC deals, investors, IPOs and M&As in Chicago and across the U.S.²

VC Investment PerCap 101816

VC Rounds Metros 101816

Major VC Deals in Chicago, Q3 2016²

  • Relish Labs LLC, Restaurants / Food Service  ($40M)
  • Endotronix Inc., Patient Monitoring / Biofeedback ($32M)
  • 4C Insights Inc., Advertising / Marketing ($26M)
  • Caremerge Inc., Healthcare Administration Software ($14M)
  • Catalytic Inc., Business Applications Software ($11M)
  • Project44 Inc., Business Applications Software ($11M)

Active Investors in Chicago, Q3 2016²

  • Chicago Ventures (2 deals)
  • M25 Group LLC (2)
  • Hyde Park Venture Partners (2)

Major VC Deals in the U.S., Q3 2016²

  • AirBNB Inc., Travel Arrangement / Tourism ($850M)
  • Moderna Therapeutics Inc., Biotechnology Therapeutics ($474M)
  • Intarcia Therapeutics., Biotechnology Therapeutics ($215M)
  • Unity Technologies ApS, Recreational / Home Software ($181M)
  • Payoneer Inc., Payment / Transactional Processing ($180M)

Active Investors in the U.S., Q3 2016²

  • SOSV (37 deals)
  • New Enterprise Associates Inc. (29)
  • Sequoia Capital (28)
  • Greycroft Partners (18)
  • Bessemer Venture Partners (18)

Top IPOs in the U.S., Q3 2016²

  • Nutanix Inc., Database Software ($238M)
  • Apptio Inc., Business Applications Software ($96M)
  • Protagonist Therapeutics Inc., Biotechnology Therapeutics ($90M)

Top M&As in the U.S., Q3 2016²

  • Wal-Mart Stores Inc. acquisition of Jet.com Inc., Mixed Retailing, Montclair, NJ ($3,300M)
  • Orient Securities Capital Investment Co. acquisition of AppLovin Corp., Advertising / Marketing, Palo Alto, CA ($1,400M)
  • L’Oreal SA acquisition of IT Cosmetics LLC, Personal Care Products, Jersey City, NJ ($1,200M)

¹ Alternate sources (CB Insights, CrunchBase, PitchBook, Pricewaterhouse Coopers, etc.) have various methods for collecting and tracking venture capital data, resulting in disparate figures.
² Lists are not exhaustive.

Note: The investment figures included in this release are based on aggregate findings of Dow Jones’ proprietary research collected through surveys of professional firms, interviews with company executives, and from secondary sources. Information reflects equity financing, including cash investments into companies that have received at least one round of venture funding, and does not include companies receiving funding solely from corporate, individual and/or government investors. Figures are subject to change. For more information, please refer to the DJX VentureSource website.

Source: Dow Jones VentureSource; U.S. Census 2014 (population estimates for metros); ACS  2014 5-year (population estimate for Orange County).

Chaired by Mayor Rahm Emanuel, World Business Chicago is the public-private partnership leading the Plan for Economic Growth and Jobs in order to drive business development, cultivate talent, and put Chicago at the forefront of the global economy.

WBC’s “Economic Briefs” track indicators from month to month to gauge the strength of several aspects of Chicago’s economy, including unemployment, population, venture capital, job openings and new hires, home sales, tourism, etc. This data provides a clear analytic framework for specific Plan strategies and initiatives. For a summary of these and other economic indicators, refer to WBC’s monthly Chicago By The Numbers.

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