The week is off to a prosperous start for the city’s tech sector, which has seen an infusion of $18 million into a pair of its fastest-growing firms.
First up was Fusebill, which revealed on Monday that it had netted $6 million in fresh venture capital that would help the company – which develops automated billing software – beef up its sales and marketing efforts.
That was followed by an announcement today by You.i TV that Time Warner Investments was leading a $12-million series-B funding round. Time Warner’s Turner Broadcasting division was already a customer of You.I TV, which makes software that allows media company developers to create video-rich apps across multiple platforms.
So, are these deals a sign that venture capitalists are making more trips to Ottawa with their chequebooks in hand?
Investors poured nearly a quarter-billion dollars into Ottawa tech firms in 2015, according to Thomson Reuters. That’s the largest sum in at least five years, according to Ottawa Business Journal files.
However, this year got off to a slightly slower start. Slightly more than $89 million in private equity and venture capital was invested in local companies in the first half of 2016, down from $132.5 million during the same period last year.
Difficulty accessing capital remains one of the top issues facing local businesses, a survey of Ottawa’s corporate leaders found earlier this year.