2020 Report on Angel Investing In Canada

3.8 Investment Characteristics – Region INVESTMENT ACTIVITY IN 2019

Angel investment activity continues to be dis- tributed unevenly across Canada. Central Cana- da (Ontario and Quebec) accounted for 86% of investments compared with 13% in Western Canada (Figure 22A) and 1% in Atlantic Cana- da. Central Canada is even greater in terms of the amount invested, accounting for 94% of the total (Figure 22B). We have seen some improvement in Western Canada with an increase in the number of investments from 11% in 2018. While Atlantic Canada declined from 3% in 2018, the emerging state of the ecosystem may explain this variation.

The number of investments made in Central Canada in 2018 remained the same in 2019 at 86%.

There are also regional differences in the propor- tion of new and follow-on investments. In Central Canada, 62% of investment dollars were new, compared with 64% in Western Canada, and 96% in Atlantic Canada. When calculated on a per cap- ita basis, the uneven distribution of investments persists and Central Canada ’s dominant position is confirmed (Table 7).

FIGURE 22-A Regional Distribution of Investments - Number of Investments

250

56

200

92

150

New Follow-On Unspecified

100

106

50

14

24

1

3

0

0

0

Western Canada (15% of Investment)

Central Canada (84% of Investment)

Atlantic Canada (1% of Investment)

Region

FIGURE 22-B Regional Distribution of Investments - Amount Invested

150000000

$97,302,722

100000000

New Follow-On Unspecified

$23,424,975.4

50000000

$0

$0

$5,744,325 $3,276,900

$665,000 $30,000

$38,861,993.3

0

Western Canada (5.3% of $ Invested)

Central Canada (94% of $ Invested)

Atlantic Canada (0.4% of $ Invested)

Region

51

ANNUAL REPORT ON ANGEL INVESTING IN CANADA

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