Russia?s 2Q 2013 venture investing down nearly 50% y-o-y, RMG reckoned

Venture capital invested in Russia between April and June 2013 totaled $87m, down by 41.3% q-o-q and by 47.7% y-o-y, RMG analysts found.

Rye, Man and Gor Securities (RMG), an independent Russian investment company with 20 years of experience in the market, has recently published its inaugural Russian Venture Capital Market Overview. It covers events and trends for 2Q 2013. According to RMG estimates, venture capital invested in Russia in 2Q2013 totaled $87m, down by 41.3% q-o-q and by 47.7% y-o-y. The number of deals closed fell to 53. Both total capital invested and deals closed were at 6-quarter lows. Russia?s negative trend in venture capital invested and deal numbers matches global slowing of economic growth in 1H2013, and a slight contraction of VC markets was also registered in Europe and the US. But a number of other specific factors played a role in the Russian VC downturn. Most importantly, transparency is not a characteristic feature of the Russian VC market, so that closed deals are often announced only after several months. Also, the parties often prefer not to disclose details, and expert estimates may vary substantially...