1. Deals Analysis
November 28, 2020updated 01 Dec 2020 4:22pm

Technology industry cross border venture financing deals total $10.45bn globally in Q3 2020

Total technology industry cross border venture financing deals worth $10.45bn were announced globally in Q3 2020, led by KKR &Inc, Sequoia China Fund and Tencent Holdings’s $800m venture financing of Hunan Xingsheng Optimal E-Commerce, according to GlobalData’s deals database.

The value marked an increase of 20.1% over the previous quarter and a rise of 2.65% when compared with the last four-quarter average, which stood at $10.18bn.

Comparing cross border venture financing deals value in different regions of the globe, Asia-Pacific held the top position, with total announced deals in the period worth $3.6bn. At the country level, the US topped the list in terms of deal value at $3.24bn.

In terms of volumes, Europe emerged as the top region for technology industry cross border venture financing deals globally, followed by Asia-Pacific and then North America.

The top country in terms of cross border venture financing deals activity in Q3 2020 was the US with 108 deals, followed by India with 58 and the UK with 46.

In 2020, at the end of third quarter, cross border venture financing deals worth $27.32bn were announced globally in technology industry, marking a decrease of 7.4% year on year.

Cross border venture financing deals in technology industry in Q3 2020: Top deals

The top five cross border venture financing deals in technology industry accounted for 20.9% of the overall value during Q3 2020.

The combined value of the top five cross border venture financing deals stood at $2.19bn, against the overall value of $10.45bn recorded for the quarter.

The top five technology industry cross border venture financing deals of Q3 2020 tracked by GlobalData were:

1) KKR &Inc, Sequoia China Fund and Tencent Holdings’s $800m venture financing of Hunan Xingsheng Optimal E-Commerce

2) The $485m venture financing of Chime Financial by , Access Technology Ventures, Coatue Management, Dragoneer Investment Group, DST Global, General Atlantic, ICONIQ Capital, Tiger Global Management and Whale Rock Capital Management

3) 83North Venture Capital, Bain Capital Ventures, Elaia Partners, Felix Capital Partners and Growth Opportunities Fund I’s $300m venture financing of Mirakl

4) The $300m venture financing of Think and Learn by Alkeon Capital, BlackRock, General Atlantic, Owl Ventures, Sands Capital Ventures and Tiger Global Management

5) T Rowe Price Associates’ venture financing of and Rappi for $300m.

Verdict deals analysis methodology

This analysis considers only announced and completed deals from the GlobalData financial deals database and excludes all terminated and rumoured deals. Country and industry are defined according to the headquarters and dominant industry of the target firm. The term ‘acquisition’ refers to both completed deals and those in the bidding stage.

GlobalData tracks real-time data concerning all merger and acquisition, private equity/venture capital and asset transaction activity around the world from thousands of company websites and other reliable sources.

More in-depth reports and analysis on all reported deals are available for subscribers to GlobalData’s deals database.

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