The venture slowdown is in full force

Global deal activity is down 23% from Q1 to Q2 (as of June 23) this year, after staying mostly flat in the previous quarter. Funding is also set to drop as investors shy away from big, late-stage checks (Series D+).

In the trenches. The biotech sector is facing a major cash crunch. Listed biotechs have seen their value fall over 70% from their peak in 2021 as investors seek out less risky sectors, hampering these companies’ ability to raise new funds. With markets in turmoil, only 9 drug companies have gone public in the US this year compared to almost 60 over the same period last year — cutting off another key source of capital. Early-stage biotechs that must fund long development cycles are particularly exposed. Private fundraising, meanwhile, has also begun to dry up. CBC Insights