Ontario VC investment rebounds in Q3

Record levels of US venture capital (VC) helped to boost investment in Ontario firms in Q3/07, according to the latest data from Thompson Financial. Ontario companies received $288 million in VC investment in the quarter, up 116% from Q2/07 when just $131 million was committed.

The latest quarter benefitted from two large Ontario investments — $100 million in OANDA Corp (a provider of on-line currency and trading information services) and $40 million in Enobia Pharma.

Year-to-date, foreign VC accounted for $410 million or 55% of the $728 invested in Ontario firms. In contrast, foreign VC accounted for 32% of investment in Quebec and 29% in British Columbia.

Q3 investment in Ontario accounted for 56% of the national total of $512 million, compared to its 41% share for all of 2006. That helped push the province to fifth place among regional North American markets, beating out New Jersey and Washington.

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