Venture capital firms keen on Illinois businesses

By Becky Yerak
Posted Nov. 3, 2010 at 3:52 p.m.

Illinois companies are having a good year when it comes to venture capital firms investing in their businesses.

Venture-capital investors put $123 million into 10 Illinois-based businesses in the third quarter of 2010, according to figures released Wednesday by Dow Jones VentureSource. That compares with $15 million invested in five businesses in the same period in 2009.

The third quarter’s investment total was helped by a $65 million deal for Skokie-based NanoInk, a nano tech firm. Its backers included Lurie Investments.

Also, Vernon Hills-based Sorbent Therapeutics raised $21.8 million from backers that included Arch Venture Partners, VentureSource said.

Through the first nine months of 2010, Illinois-based companies have raised $527 million from venture capital firms, more than the amount of capital raised for the entire years of 2005, 2006, 2007, 2008 and 2009. Still, companies in five other states have surpassed Illinois in attracting venture capital year to date.

Nationwide, more than $17.1 billion was invested in 2,016 deals during the first three quarters of 2010, a 10 percent rise in both investment and deal activity over the same period last year.

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