TLDR:
- Vancouver ranked second in Canada for venture capital financing deals in the first half of 2024, with $246 million across 45 deals.
- Concerns arise as foreign investment dominates the Canadian venture capital landscape.
Vancouver was the second-hottest city in Canada for venture capital financing deals in the first half of 2024, with $246 million in VC financing across 45 deals, according to data from CPE Analytics. The city ranked behind Toronto in terms of the number of deals but placed fourth in dollars invested, trailing behind Calgary and Montreal. Other municipalities in the region, such as Burnaby, Richmond, and Surrey, also made it to the top 10 for venture capital in Canada.
While there are positive signs of strength in venture capital flow in Canada, one major concern highlighted in CPE’s report is the dominance of foreign investment in the market. U.S. financing alone accounts for a majority of the total venture capital invested, a figure that was consistently below 50% from 2017 to 2021. Another worrying trend is the public sector financing outpacing private investment within Canada, raising questions about the sustainability of the current funding model.
Vancouver has a significant tech presence, with tech workers comprising nearly 9% of the city’s total workforce, second only to Toronto. CompTIA reported last year that 4,500 tech companies operate in Vancouver. CPE Analytics also found that there were over 350 venture capital deals nationwide in the first half of 2024. The report was conducted by Rémillard Consulting Group in partnership with CPE Analytics, founded by Ted Liu in 1992.
