Fintech investing leaped to a new global record in 2018, with equity capital doubling to $53.8 billion, according to a study from FT Partners.
The towering year included the largest-ever financing in the space, Ant Financial’s $14 billion Series C, but also 68 other deals over $100 million, the most on record. In 2017, there were 47 such deals.
The annual results underscore the momentum venture capitalists have built up behind this disruptive sector. Five VC firms made 19 or more new or follow-on investments each, including Sequoia Capital, Anthemis Group, Andreessen Horowitz, Ribbit Capital and Bain Capital Ventures. Activity at Accel Partners, Index Ventures, New Enterprise Associates and Omidyar Network was close behind, the investment bank found.
Also supporting the effort were corporate and strategic investors, which joined 41 percent of the fundings. Most active were Goldman Sachs, Salesforce and American Express.
The year saw 1,602 deals, which was down slightly from 1,635 in 2017, the study shows. In 2017, fintech companies raised $26.8 billion in equity capital worldwide, just under the previous record of $28.7 billion in 2016.
North America proved most active region in deal count, with 787 transactions, but Asia held the pole position in deal value, topping North America $25.5 billion to $21.6 billion.
Global deal count was largest in banking and lending, followed by payments and capital markets.
M&A activity during the year reached $124.1 billion, with 867 deals, the study found. Deal count fell from 2017, but transaction value rose.
Action Item: For more info on the 174-page 2018 FinTech Almanac, visit ftpartners.docsend.com/view/mp3dhbg.