Canada’s late-stage ventures held back by growing capital gap: study

PE Hub Network covers Yaletown Partners study of Canada’s Technology Investment Gap and reports:

Conditions have not improved with Canada’s robust VC trends of late, the report found. That’s because substantial dollar flows, reflected in the $2.7 billion invested in 2015, the highest in 13 years, have benefited mostly early-stage companies. Once startups enter a next stage of growth, there’s a very good chance they will run short of capital.

The funding picture for Canadian companies is perhaps clearest in relation to their cash-rich U.S. peers. American companies are 2.6 times more likely to raise emerging-growth financings than companies north of the border, the report found.

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Author: Kirk Falconer, PE Hub