Private equity, venture capital-backed funding round activity slows in February

Private equity-backed funding rounds decreased in terms of both deal value and count during February, according to S&P Global Market Intelligence data.

Global venture capital deal value totaled $16.65 billion in February, down 11.2% from the same period in 2023. Deal count declined 28.2% year over year to 1,009.

On a month-over-month basis, deal value dropped from $23.79 billion in January. The number of transactions also slipped from 1,301 deals.

– Download a spreadsheet with data in this story. – Read about private equity-backed funding round activity in January. – Explore more private equity coverage.

Investments by sector

The technology, media and telecommunications industry remained the biggest recipient of global venture capital investments in February, attracting more than a third of all funding committed. It was followed by the healthcare sector, which accounted for 22% of the total.

Within the TMT sector, application software companies recorded the largest number of private equity-backed funding rounds in February at 209, although that was much lower the 359 rounds in the same month in 2023. Systems software companies came second with 44 funding rounds.

Largest transactions

The two biggest private equity-backed funding rounds announced in February originated in China.

In the biggest round for the month, artificial intelligence company Beijing Dark Side of the Moon Technology Co. Ltd., or Moonshot, raised $1 billion in a round led by Alibaba Group Holding Ltd., according to Market Intelligence data. HongShan participated in the round.

Shanghai Spacecom Satellite Technology Ltd.'s 6.5 billion yuan funding round led by National Manufacturing Transformation Upgrade Fund Co. Ltd. was the second-largest round announced in February.