2022/02/18 by Andrea Bellucci, Alexander Borisov, Gianluca Gucciardi +1 · 1 citation
Business, Management and Accounting · #Corporate Finance and Governance #Entrepreneurship Studies and Influences #Private Equity and Venture Capital
paper · doi:10.1016/j.jbankfin.2022.106443
openalex publication_date 2022/02/18 · openalex created_date 2025/10/10 · openalex updated_date 2026/07/22
We examine possible reallocation effects generated by the COVID-19 outbreak by analyzing the patterns of venture capital (VC) investments around the globe. Using transaction-level data and exploiting the staggered nature of the spread of the virus, we document a shift in VC portfolios towards firms developing technologies relevant to an environment of social distancing and health pandemic concerns. A difference-in-differences analysis estimates significant increases in invested amount and number of deals in such areas. We show heterogenous effects related to the experience of VC investors, as well as their size and organizational form.