> Download the Venture Capital and Tech Ecosystem Report

> Download the Private Equity Report

INVESTMENT ACTIVITY REMAINS IMPACTED BY ECONOMIC UNCERTAINTY, WHILE PRIVATE EQUITY RECORDS A HISTORIC YEAR

Réseau Capital, Québec Tech and Anges Québec present the Q4-2025 report on activity across Québec’s startup ecosystem. Produced in collaboration with the CVCA (Canadian Venture Capital and Private Equity Association), the report provides a comprehensive view of market activity and to support a consistent reading of trends shaping Québec’s entrepreneurial ecosystem and private capital environment.

In 2025, Québec’s startup ecosystem continued to evolve following a period marked by elevated levels of company creation. Growth increasingly reflects execution capacity and commercialization performance. In a more selective capital environment, capital and talent have concentrated around ventures demonstrating stronger fundamentals and scalability potential. The strategic objective remains the emergence of globally competitive companies capable of sustaining growth across economic cycles.

Anges Québec maintained sustained level of activity in 2025, with increased representation at the pre-seed and seed stages. Sector diversification was observed, including increased activity in cleantech, while ICT activity showed relative normalization. Montréal remained the primary hub for angel investment activity, with continued deployment across Québec. Convertible debt represented the most frequently used investment instrument, accounting for 54% of transactions.

In 2025, Québec recorded 122 venture capital deals totaling $1.0 billion in dollars invested. While transaction levels remained relatively stable year-over-year, total dollars invested declined by 48% compared to 2024. This contraction is primarily attributable to reduced activity at the early and later stages. In contrast, seed stage investment demonstrated resilience, with a 35% increase in transaction count and a 27% increase in invested amounts year-over-year.

Private equity activity in Québec reached a historic level in 2025, with $32.2 billion in dollars invested across 357 transactions, the highest annual total recorded since 2013. Québec accounted for 60% of Canadian private equity transactions and 56% of total dollars invested nationally, maintaining its leadership position. This performance was largely driven by four transactions exceeding $1B, along with a strong rebound in growth deals where total dollars invested increased by 99% year-over-year, while buyout dollars invested declined by 92%.

At year-end 2025, the economic and geopolitical environment remains uncertain, characterized by market volatility and ongoing trade tensions. In this context, venture capital deployment remains selective and disciplined. Despite these conditions, several technologies and verticals continue to attract investor interest and entrepreneurial talent. Supported by historic results in private equity and early signs of stabilization, bolstered by institutional investors, we enter the coming year with renewed confidence in the resilience of Québec’s ecosystem and its capacity to drive economic growth.

Key Highlights: Tech Startup Ecosystem and Venture Capital

• Between 2020 and 2025, 747 tech startups were created, representing 29% of the active startup base, indicating a slowdown in entrepreneurial momentum compared to the previous period.
• In 2025, 393 active tech startups secured venture capital financing, representing 15% of the total active base. Of these, 25% were led by experienced founders, compared to 13% across the overall active startup population.
• ICT ranked first among funded startups, with 161 companies (41%) and US$ 2,035M invested. Cleantech followed with 102 startups (26%) and US$ 1,992M invested, while life sciences accounted for 108 companies (27.5%) and US$ 1,949M invested.
• Of all applications received by Anges Québec in 2025, 2% resulted in completed financings .
• Pre-seed transactions represented 27% of Anges Québec activity in 2025, while seed accounted for 62%. Compared to 2024, pre-seed and seed activity increased by 7 and 10 percentage points, respectively.
• Convertible debt accounted for 54% of Anges Québec transactions in 2025, an increase of 9 percentage points year-over-year.
• In venture capital, seed stage activity rebounded in 2025 with 73 transactions totaling $166M. Seed represented 60% of total VC transactions and 17% of total dollars invested in 2025.
• At the early and later stages, dollars invested declined by 23% and 60%, respectively, compared to 2024.
• In a national context, Québec ranked second in Canada by number of VC transactions, accounting for 21% of total Canadian activity, and third by dollars invested, representing 12% of total capital deployed nationally.

Key Highlights: Private Equity

• For 2025, Québec recorded a historic $32.2B invested across 357 transactions.
• Québec accounts for 60% of Canadian private equity transactions in 2025, ahead of Ontario (21%) and British Columbia (11%), and 56% of invested capital, ahead of Ontario (43%).
• In 2025, growth capital dollars invested increased by 99%, while buyout dollars invested declined by 92% year-over-year.
• Québec represented 58% of Canadian private equity transactions, in front of Ontario (23%) and British Columbia (11%), and 55% of invested capital, ahead of Ontario (44%).
• The three largest disclosed private equity transactions in 2025 were Garda World Security Corp ($14B), Innergex Renewable Energy ($10B), and Héroux-Devtek Inc. ($1.4B).