Startup investments remain steady in the Triangle

Data: PitchBook; Chart: Axios Visuals
Data: PitchBook; Chart: Axios Visuals

Investments into North Carolina companies have remained steady despite a national slowdown, a new report from the venture capital tracking firm PitchBook shows.

Driving the news: Triangle companies raised $569 million from investors in the third quarter of this year, according to PitchBook.

  • That was down compared to the same quarter of 2021 — yet companies in the region have already raised more money in 2022 overall.

Why it matters: The Triangle’s startup ecosystem is an important regional economic driver, with firms like Pendo, Epic Games and dozens of others employing thousands of workers.

  • A slowdown in funding could reduce their ability to grow and hire more workers — or could lead, in some cases, to layoffs locally.

The past quarter’s the largest funding rounds include:

  • Durham battery storage company FlexGen’s $100 million round in July.
  • An $92 million round for the Research Triangle Park biotech company Vestaron.
  • And an $89 million round for a Duke University biotech spinout called Xilis.

What they’re saying: Scot Wingo, prominent local entrepreneur and head of the Triangle Tweener Fund, said he remains encouraged by the strength of the local startup scene.

  • “From our view at the Tweener Fund at the earlier stage [of companies], the activity is increasing nicely,” Wingo told Axios. “So we see no reason for concern because that’s the best harbing for the future.”

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