In recent months, uncertainty has been the keyword. Amid geopolitical tensions, trade wars and market volatility, many investors have preferred to play defence. Yet, there is a sector that never stops, which is innovation. In this regard, the venture capital market seems to have rediscovered an enviable rhythm: it grew by 18.5% compared to the previous semester, raising 91.5 billion dollars, the highest level since the beginning of 2022, according to the PitchBook report.
To be more precise, between January and May, late-stage transactions reached an average of 4.8 billion dollars per month, excluding OpenAI’s 40 billion dollar mega-round. In general, the surge in transactions continues to be driven by a few mega-rounds in the AI sector; suffice it to say that the one dedicated to OpenAI alone accounts for almost 60% of the invested value.
The climate of uncertainty is still having an effect on the world of venture capital, meaning investors remain highly selective, choosing only selected late-stage companies, with a very strong focus on artificial intelligence. Exit activity has not increased significantly, keeping many mature companies still private and limiting liquidity.
But let’s take a look together, specifically, at some of the big rounds in June, focusing on artificial intelligence, but not only.
Multiverse Computing
The Spanish startup, a world leader in quantum-inspired artificial intelligence model compression, has raised 189 million euros to expand its revolutionary technology. CompactifAI is a technology capable of reducing the size of LLMs by up to 95%, without altering their performance.
Elkedonia
The Franco-Belgian company, a pioneer in the use of neuroplastogens for the development of therapeutic agents for the treatment of depression, has announced the closing of an 11.25 million euro round. Evidence from preclinical and clinical studies suggests that Elk1 inhibition is a therapeutic lever in depression, with rapid efficacy and without sedation, dependence, and hallucinations.
Applied Intuition
The US autonomous vehicle software company closed a Series F investment round of 600 million dollars, raising its valuation to 15 billion dollars. The round, led by BlackRock, comes just one year after a 250 million dollar investment.
Sword Health
The AI-based digital health startup has raised 40 million dollars with a valuation of 4 billion, a 33% jump compared to 3 billion last year. Sword Health, which started as a virtual physical therapist and then expanded to offer pelvic and mental health services, had already considered a short-term IPO.
Coco Robotics
The Los Angeles-based startup that builds robots for last-mile deliveries has announced that it has raised 80 million dollars, thanks to the support of Pelion Venture Partners and some angel investors. The new funds come after Coco announced a partnership with OpenAI in March, which allows Coco to use OpenAI while the AI company obtains the real-world data that robots collect to train its models.
