TLDR:
- 2024 will be the year of 3R: rates, recovery, and rationalisation in venture capital markets.
- The European VC Valuations Report by PitchBook predicts dynamic changes in macroeconomic conditions.
According to the European VC Valuations Report by PitchBook, 2024 is expected to be a crucial year for rates, recovery, and rationalisation (3R) in the venture capital markets. The report highlights the impact of dynamic changes in macroeconomic conditions on financial markets. Despite a decline in capital activity in 2023, median pre-money valuations have shown growth in all stages except for seed and venture growth. Various sectors, such as AI and cleantech, have shown resilience and strong activity in deal-making. The report also discusses the impact of rates on venture valuations and predicts that lower valuations may lead to more rational behavior and market valuations in the industry.
Key Points:
According to the European VC Valuations Report by PitchBook, 2024 will be a year of rates, recovery, and rationalisation (3R) shaping venture capital markets.
The report highlights the impact of dynamic changes in macroeconomic conditions and the resilience of certain sectors, such as AI and cleantech.
