Ninety-seven San Diego deals attracted a total of $757 million in venture capital funding last year, down from 105 deals obtaining $1.15 billion in 2012, according to the latest MoneyTree Report by PricewaterhouseCoopers LLP and the National Venture Capital Association.
David Titus, president of the San Diego Venture Capital Association, attributed much of the drop off to a record year in initial public offerings by seven biotechnology companies, and an overall contraction in the venture capital industry.
San Diego’s total venture funding of $757 million last year was the lowest since 2003 when area firms attracted $826 million, the report showed.
Nationally, venture firms funneled $29.4 billion into 3,995 deals, up 7 percent in dollars and up 4 percent in transactions, the MoneyTree Report said.
The bulk of the national funding, some $7 billion, went to Internet companies, marking the highest level in that sector since 2001.
In San Diego, the biotechnology industry, as usual, garnered the largest portion of venture investment last year, getting $514 million.
For the fourth quarter, 23 San Diego firms attracted a total of $145 million in venture investment, down from the like quarter of 2012 when 26 local firms captured $178 million in funding, the report showed.
The biggest single funding in the quarter was Achates Power, which obtained $35.2 million.
For a more in-depth look at the venture capital environment, read the San Diego Business Journal's Jan. 27 edition.