Venture capital funding in Connecticut has shown a steep decline. Numbers from the third quarter were down more than 50 percent on the same period last year. WNPRâ€™s Harriet Jones reports.
In the third quarter this year, six Connecticut companies received just under 27 million dollars in venture capital funding. Thatâ€™s down from more than 56 million given to ten companies in the third quarter of 2006. The figures come from the PricewaterhouseCoopers and National Venture Capital Association MoneyTree Report. The companies that did best were in the Life Sciences sector with the top three investments being in either biotechs or medical devices companies.
New Haven biotech Optherion garnered the most cash with a ten million dollars investment. The company is developing diagnostic and therapeutic treatments for eye diseases. Connecticutâ€™s venture capital deals have been consistently driven by investorsâ€™ interest in the life sciences activity in the state. Across the country venture capital funding also took a dip. Nationally there were 887 deals in the quarter, totaling just over seven billion dollars. That was down slightly from the second quarter this year.