Boston Edges Out NYC in Latest Round of Venture Capital Funding, Reports Show
Friday, July 20, 2012
Two reports released Friday show New York City raised less venture capital money in the second quarter than perennial rival Boston, though how much less depends on the report.
According to data from Dow Jones VentureSource, New York City raised $605 million on 109 VC deals in Q2 while Boston pulled in 13 percent more — or $683 million — on just 80 deals.
It was an improvement from the first three months of the year when the Big Apple raised just $327 million while Beantown seemed to have all the beans, pulling in $1.9 billion.
Both cities raked in far less this quarter than Silicon Valley, where companies raised more than $3.1 billion.
The largest deal in New York was $42.2 million for open source database creator 10gen, followed by $40 million for Brooklyn-based e-commerce site Etsy. Healthcare companies Epizyme and Mitralign topped the list in Boston.
A separate report gave Boston a more definitive lead in the race for financing, showing companies there raised about $280 million more than those in New York in the second quarter.
Boston firms brought in $746 million, whereas New York raised only $466 million, according to that study from PricewaterhouseCoopers and the National Venture Capital Association used data provided by Thomson Reuters.
Overall, the report showed venture capital financing jumped 18 percent nationwide in the second quarter to $7 billion, and the number of deals was up 11 percent to 898.