Global private equity and venture capital investments sank further in October, with aggregate transaction value totaling $27.10 billion, down 36.1% from $42.44 billion in the same month a year ago, according to S&P Global Market Intelligence data.
Monthly deal value has been on a downward trend since August.
The number of transactions dropped to 908 from 1,241 during the measured period.
The US and Canada posted the highest deal value in October with $13.13 billion, down from $18.42 billion recorded a year ago. Europe and Asia Pacific came second and third, with October investments totaling $6.79 billion and $6.68 billion, respectively.
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– Read about global private equity entries in September.
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Turning to annual comparisons, during the year through Oct. 31 deal volume plunged 40.3% to $375.16 billion from $628.70 billion in the first 10 months of 2022.
The number of deals stood at 9,990 compared with 14,715 tallied the previous year.
TMT leads sectors
Technology, media and telecom was the most invested sector in October with 908 private equity-backed transactions. Within the sector, application software recorded the highest number of deals with 155, although deal count went down from 258 in October 2022.
The systems software subsector and interactive media and services subsector booked 40 and 31 deals, respectively, also down on an annual basis.
Top deals in October
In the largest transaction in October, artificial intelligence company Metropolis Technologies Inc. secured $1.7 billion in a funding round led by Eldridge Industries LLC and 3L Capital Management LLC. Broken down, the round comprised $1.05 billion in series C preferred stock and $650 million in debt financing.
Goldman Sachs & Co. LLC acted as placement agent on the series C round. Goldman Sachs also served as lead arranger on the debt financing alongside Maranon Capital LP.
The second-largest transaction in October was Partners Group Holding AG's commitment of up to €1 billion in growth capital in infrastructure asset management and development firm Exus Management Partners.