Startups raise $104mn in Q2 amid VC funding slowdown

News Image

By MG News | July 01, 2022 at 09:23 PM GMT+05:00

0:00

July 01, 2022 (MLN): Pakistani startups have raised around $104 million in the second quarter of 2022, down by 41% QoQ from $177M due to a slowdown in VC funding amid global macro tailwinds and pullbacks across markets, especially in tech, as reported by Data Darbar.

in the first half of 2022, the Pakistani startups raised almost $277mn, surging 135% from $117.6mn over the same period of 2021.

This pulled the average ticket size down 58% to $4.94M in Q2-2022, as against $11.5mn in the preceding quarter. But compared to $99.2M in Q2-2021, funding still registered an increase.

Globally, venture investments hit new records in 2021 thanks to cheap liquidity. However, spiraling inflation and rate hikes by the Fed ruined the vibe, dealing a major blow to high valuations and outsize rounds that became so typical.

Between March and May, VC funding slowed both MoM and YoY, reflecting a shift away from the olden days, it added.

The correction in the VC market has forced companies to reconsider their business models and cut costs. So far, 881 startups have laid off over 141,000 people with Pakistan being no different in this regard.

In the past few months, a number of high-profile players announced mass layoffs and pullouts from some services or markets. That includes Airlift, Truck It In, Retailo, Tazah, and Swvl, among others, it noted.

Copyright Mettis Link News

Related News

Name Price/Vol %Chg/NChg
KSE100 131,176.40
73.64M
0.37%
489.75
ALLSHR 81,639.81
346.18M
0.41%
334.56
KSE30 40,111.55
31.92M
0.42%
166.10
KMI30 191,132.18
37.36M
0.23%
434.13
KMIALLSHR 55,131.55
169.19M
0.10%
57.39
BKTi 35,005.42
6.16M
1.26%
437.02
OGTi 28,583.18
2.85M
-0.54%
-156.17
Symbol Bid/Ask High/Low
Name Last High/Low Chg/%Chg
BITCOIN FUTURES 109,500.00 110,525.00
109,375.00
-915.00
-0.83%
BRENT CRUDE 68.52 68.89
68.37
-0.28
-0.41%
RICHARDS BAY COAL MONTHLY 97.50 0.00
0.00
0.75
0.78%
ROTTERDAM COAL MONTHLY 108.45 0.00
0.00
0.25
0.23%
USD RBD PALM OLEIN 998.50 998.50
998.50
0.00
0.00%
CRUDE OIL - WTI 66.82 67.18
66.69
-0.18
-0.27%
SUGAR #11 WORLD 16.37 16.40
15.44
0.79
5.07%

Chart of the Day


Latest News
July 04, 2025 at 12:48 PM GMT+05:00

Weekly inflation rises 0.73%


July 04, 2025 at 12:46 PM GMT+05:00

Bilal Fibres reports suspension of operations


July 04, 2025 at 12:24 PM GMT+05:00

SECP invites public feedback on share issue reforms


July 04, 2025 at 12:12 PM GMT+05:00

Pakistan produces 12m mobile phones in first half of 2025


July 04, 2025 at 11:24 AM GMT+05:00

Pakistan calls for credit rating reform at UN FFD4 summit



Top 5 things to watch in this week

Pakistan Stock Movers
Name Last Chg/%Chg
Name Last Chg/%Chg