Colorado Real Estate Journal - May 4, 2016
The Denver Office of Economic Development released its latest Denver Venture Capital Report, an analysis on the levels and kinds of venture capital being invested in local companies. The report shows that Denver firms raised a total of $345 million in venture capital investments in 2015, representing nearly double the volume of activity compared to 2011. “The city’s venture capital progress has brought new opportunities each year, catalyzed our growing startup sector and puts us in a position to build on those successes as we move forward,” said Mayor Michael B. Hancock. “This report provides a road map for Denver to continue to strengthen its position in the venture capital ecosystem, as well as bolster the impressive strides Denver has made over the last five years.” Among its many highlights, the report shows that the internet sector has attracted $786 million in venture capital investment over the past five years. In addition, the combined tech sectors of internet, software and telecommunications represent more than 84 percent of the venture capital here. “Our office is dedicated to shining a spotlight on the incredible activity centering around Denver’s startup and early stage businesses,” said Paul Washington, OED executive director. “By focusing exclusively on Denver firms, the report illustrates how our venture capital marketplace is not only growing, but how it is maturing with later stage investments.” According to the report, the annual seed and angel capital investment in Denver startups has more than doubled since 2012, with $38 million invested locally in 2015 and reinforced with an additional $125 million in Series A and B venture capital. The report also noted that the merger and acquisition activity in Denver has nearly quadrupled in five years, from 17 deals in 2011 to 63 in 2015. The Denver Venture Capital Report – 2015 analyzes data from CB Insights and was produced with assistance from Innosphere, Access Venture Partners and the Colorado Technology Association. The 20-page report analyzes investments by quarter, sector and series, among other factors. The report is available online at www.denvergov.org/oed.