Best of LinkedIn: Venture Capital CW 35/ 36

The past two weeks showed divergent momentum across regions and sectors, with concentrated flows into AI, steady resilience in health and medtech, and selective strength in cybersecurity. Fund formation and platform design continued to evolve, while operating lessons for founders and GPs focused on warm access, liquidity paths, and disciplined signaling.

Date

August 27, 2025

Venture Capital

Thomas Allgeyer

Methodology: Every two weeks we collect most relevant posts on LinkedIn for selected topics and create an overall summary only based on these posts. If you´re interested in the single posts behind, you can find them here: https://linktr.ee/thomasallgeyer. Have a great read!

‍

Listen to our podcast

Macro Signals

US liquidity leaned toward private secondaries over IPOs, with $61.1B in secondary transactions versus $58.8B in IPO exits as of late June 2025, highlighting extended private company timelines
Generative AI captured 53% of global VC funding in H1 2025, with a large share concentrated in a handful of US companies
European early-stage remained relatively stable, with AI, health, and medtech cited as resilient in Q2 despite broader volatility

‍

Regional Watch

MENA rebounded in H1 2025 with $1.55B raised across 310 deals; mega deals surged and Series B activity nearly quadrupled, driven by KSA and UAE
Africa’s 2024 reanalysis revealed a severe downturn and ecosystem fragility tied to global liquidity shifts, signaling tougher fundraising conditions
Europe showed mixed signals, including calls for stronger biotech push and emerging Aerospace & Defence VC activity linked to remilitarisation and geopolitical priorities

‍

Sector Highlights

AI continued to draw capital concentration, sparking debate on whether high deal values reflect durable innovation or narrow winner pools
Cybersecurity Q2 deal value topped $4B, with platform companies driving momentum through M&A
Health and medtech flagged as resilient, though some cautioned against inflated headline claims in medtech reports
Deeptech and defence gained attention in Europe as geopolitical tensions fueled national security-driven investment
Ecommerce enablement faced tougher early-stage funnels, with investors prioritising durable unit economics and infrastructure leverage

‍

Fund Formation & Platforms

The Co-Fund launched, reflecting ongoing innovation in fund constructs and LP-GP alignment
Multiple new funds announced in August 2025, signaling active formation across strategies despite selective capital deployment
Venture studio analysis highlighted faster first closes, distinct portfolio patterns, and team composition data: 53% solo GPs, 86% all-male, 11% mixed, and 3% all-female

‍

Deals, Rounds & Stages

Later-stage momentum noted in MENA, with selective strength in Series B; founders urged to align ask sizes with traction and market context
Bridge rounds flagged as negative signals more often than lifelines, reinforcing the need to hit milestones on fundamentals rather than rely on interim optics

‍

Operator Playbook

Warm introductions significantly outperformed cold outreach in moving decks into investor pipelines, per British Business Bank data
Term sheet guidance emphasized investor–company fit, citing examples of specialist banking partners for innovation ecosystems
Portfolio design framed as intentional construction and risk pacing, positioning VC as a service craft rather than a status symbol
Platform and community roles continued professionalisation, supported by a new VC platform compensation survey establishing operating benchmarks

‍

Product, Platforms & Market Infrastructure

Notes highlighted fund tools, reporting frameworks, and portfolio analytics, with rising focus on clarity in impact metrics and investor communications
Climate and impact proposals increasingly assessed via structured scoring and prorated equity-based impact, reflecting demand for quantifiable frameworks in impact investing

‍

Subscribe to newsletter

Subscribe to receive the latest blog posts to your inbox every week.