Indiana VC investment continues to outpace U.S. – Inside INdiana Business

Indiana’s nonprofit tech accelerator says while venture capital investment in the state’s tech sector for the third quarter was lower than Q2, Indiana continues to outpace national VC activity. TechPoint’s Q3 2022 VC Report shows Hoosier tech companies received more than $160 million in investment, the fourth-highest total for any quarter since TechPoint began tracking VC investment.

The total stems from 34 deals in Q3. Year-to-date, Indiana’s tech sector has seen more than $378 million in VC investment, already making 2022 the second-largest year for tech company investments.

More than 70% of the deals recorded in Q3 took place in central Indiana with the remainder spread across seven other regions.

TechPoint tracks four stages of investment: Pre-seed (less than $500,000); Seed ($500,000 to $5 million); Early-stage ($1M to $10M); and Late-stage ($10 million or more).

Some of the deals highlighted in the report include Indianapolis-based Scale Computing’s $55 million raise, a $13 million Series A round for Indy-based Olio Health, and the $40 million Series D funding round for Westfield-based ag tech company Taranis.

Nationally, TechPoint says the number of deals and total investment figures have dropped every quarter since Q4 2021. For the third quarter, the report says numbers are more reminiscent of 2020 figures.

“This could reflect caution by investors to invest during a recession and/or similar caution by founders who don’t seek capital from institutional investors, fearing they may undervalue the companies in the current economic climate,” the report said.

You can view the full report by clicking here.