Navasota Groups Sees That Funding for Startups Is Beginning to Return to Prerecession Levels

May 4, 2011 - PRLog -- Technology and health care led the pack in venture capital funding in the first quarter of 2011. These two sectors acquired the lion’s share of private funding with $4.6 billion of the $7.1 billion total investment in U.S. venture capital funding.

By year-over-year comparison, investment in technology edged up to $1.6 billion from $1.3 billion in 2010 and included 231 deals. The big winner was software as 156 deals collected just under a billion dollars at $905 million--a gain of $147 million from the same period last year.

Fueled by investors' need to keep current portfolio companies funded and to begin investing from new funds, venture capital financing had a strong quarter. Deal activity and capital invested in venture-backed companies is once again near levels seen before the start of the economic recession in 2008.

Health care startups gained more dollars than technology in the first quarter. Of that $4.6 billion between technology and health care, $2.7 billion went to health care with $1.2 billion going toward biopharmaceutical companies.

Business, financial services and consumer information services all saw gains in venture deals. The business sector saw gains of $107 million from the same period last year for a total of $814 million; Consumer services earned $710 million.

Navasota Capital Fund IV, which closed its $150 million investment, has a sizable portion invested in the technology and healthcare sectors.

About Navasota Group

Founded in 2003, Navasota Group specializes in; alternative energy, biotechnology, oil and gas technology, medical devices and instrumentation, imaging and diagnostics, nanotechnology firms, heavy industry technology, and mining operations. Navasota Group funds total more than $800 million. For more information, please visit www.navasotagroup.com.

Media Contact

Emily Miyamoto
Navasota Media Coordinator
press@navasotagroup.com

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Drawing on extensive operational backgrounds as entrepreneurs and executives, Navasota’s partners provide management teams with world class counsel through every phase of company growth. We offer clients a wide range of investment opportunities, from early stage companies, which require seed funding, to well-established companies with a proven track record. The firm’s exceptionally strong investment returns have given us one of the best track records in the industry.