Venture capitalists in the UK have been slow to invest in semiconductors and photonics in Q1 2005, according to Ascendant, the technology-focused corporate finance advisers.

Q1 saw only two deals completed, those for Plastic Logic (£4.3m) and Frontier Silicon (£15m).

These two deals represented 20 per cent of all VC technology investment in the UK and Ireland, which totalled £121m in the first three months of the year, according to Ascendant.

Stuart McKnight

After the slow start, there was a rash of deals done in April, including Elixent (£8m), Icera (£5.3m), Intense Photonics (£2.5m), Microstencil (£1m) and Quantum Filament Technologies (£0.8m).

Ascendant remains hopeful that, for the first time in years, VCs will increase the amount they commit to growing semiconductor and photonics companies which last year totalled just £69m in the UK and Ireland.

www.ascendant.ltd.uk