Scottish companies raised £42million in the third quarter of 2018, more than double the amount raised in the previous quarter, according to a report out today (Monday).
The report from KPMG also revealed that Scotland’s healthcare sector performed the strongest, raising £35.8million out of the total £42million.
James Kergon, head of deal advisory for KPMG in Scotland, said: “This is particularly encouraging for Scotland as we prepare to leave the EU, and while investors will be keeping a close eye on negotiations in the coming months, shows confidence in Scotland’s economy and its ability to remain at the forefront of technological developments.”
KPMG’s Venture Pulse report, which highlights key trends, opportunities and challenges facing the venture capital market, revealed standout deals in Scotland included £18millon raised by Edinburgh-based DYSIS Medical, a developer of medical equipment, and £8.54million by Care Sourcer, a care provider comparison site.
KPMG says the regional trend mirrors the UK-wide and global story, which saw healthcare and biotechnology driving some of the quarter’s top investment deals. In total, £1.4billion of Venture Capital was invested in UK businesses in the last three months, thanks to a number of multi-million pound deals.
Mr Kergon added: “The summer is usually quite a quiet period for investment, yet Scotland has continued to attract investors, particularly in the healthcare sector.
“Scotland’s healthcare companies, both large and small are thriving, and as the UK’s population continues to grow older, drug development and biotechnology will continue to be a safe bet for investors.
“Start-ups fared particularly well, with early-stage financings accounting for £16million of investment, including a remote patient monitoring developer, Snap40, raising £6.1million in its seed round.”