powerpoint presentation...spain netherlands belgium finland switzerland italy denmark poland norway...
TRANSCRIPT
November 2018
Quarterly European Venture Capital report
Q2 2019
July 2019
Source: Dealroom.co
Q2 2019 broke the all-time record for tech investment in Europe, with €9.3 billion invested, after Q1 2019 was the previous record.
Quarterly European Venture Capital report – Q2 2019
July 2019Page / 1
Investment in Europe, Israel & Biotech Impact of mega-rounds
€ 4.0B
€ 3.5B € 3.5B
€ 4.5B
€ 5.8B € 5.4B
€ 4.7B
€ 5.4B € 5.8B € 5.6B
€ 5.3B
€ 6.8B
€ 9.3B
€ 5.3B
€ 4.4B € 4.6B
€ 5.3B
€ 6.8B
€ 7.5B
€ 6.4B
€ 6.9B
€ 7.8B
€ 7.0B € 7.3B
€ 8.5B
€ 10.7B
–
€ 3.0B
€ 6.0B
€ 9.0B
€ 12.0B
Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2
2016 2017 2018 2019
Europe Biotech Israel
€ 4.1B
€ 3.4B € 3.2B
€ 4.3B € 4.8B
€ 5.0B € 4.9B € 4.9B
€ 6.2B
€ 5.3B
€ 6.0B € 6.3B
€ 6.7B € 5.3B
€ 4.4B € 4.6B
€ 5.3B
€ 6.8B
€ 7.5B
€ 6.4B € 6.9B
€ 7.8B
€ 7.0B € 7.3B
€ 8.5B
€ 10.7B
–
€ 3.0B
€ 6.0B
€ 9.0B
€ 12.0B
Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2
2017 2018 2019
All other rounds Top 10 largest rounds Top 3 largest rounds
Source: Dealroom.co
Rounds above € 100 million are driving most of the the growth.
Quarterly European Venture Capital report – Q2 2019
July 2019Page / 2
Investments in Europe & Israel by round size
€ 1.6B € 1.7B € 1.7B € 1.8B € 1.9B € 1.7B € 1.9B € 1.8B € 1.7B € 2.1B € 1.6B € 1.7B € 1.5B € 1.6B
€ 1.2B € 1.2B € 1.2B € 1.1B € 1.3B € 1.3B
€ 1.3B € 1.2B € 1.5B
€ 1.7B
€ 1.5B € 1.7B
€ 1.5B € 1.6B
€ 1.1B € 0.9B € 0.6B € 0.6B
€ 0.6B € 1.0B € 1.1B
€ 0.9B € 1.1B
€ 1.3B
€ 1.1B
€ 1.8B
€ 1.6B € 1.5B € 0.8B
€ 0.3B € 0.4B
€ 0.6B € 0.4B € 0.6B
€ 1.0B € 1.0B € 0.6B
€ 1.1B
€ 1.0B
€ 0.9B € 1.3B € 1.3B € 1.3B
€ 1.2B
€ 0.5B € 0.5B
€ 1.1B
€ 2.3B
€ 2.2B
€ 1.5B € 2.1B
€ 1.5B
€ 1.8B
€ 1.2B
€ 2.6B
€ 4.8B
€ 6.0B
€ 5.3B
€ 4.4B € 4.6B
€ 5.3B
€ 6.8B
€ 7.5B
€ 6.4B € 6.9B
€ 7.8B
€ 7.0B € 7.3B
€ 8.5B
€ 10.7B
–
€ 3.0B
€ 6.0B
€ 9.0B
€ 12.0B
Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2
2016 2017 2018 2019
€ 0-10M € 10-25M € 25-50M € 50-100M € 100M+
The value of rounds above €100 million accounts for 45% of the total investments in Q2 2019.
Source: Dealroom.co
The 10 largest rounds in Q2 accounted for €4 billion or 43% of total investment.
Quarterly European Venture Capital report – Q2 2019
July 2019Page / 3
NAME INVESTORS LOCATION ROUND
NorthvoltLithium-ion batteries
Goldman Sachs,Volkswagen Group
Sweden$1.0B
GROWTH EQUITY
GreensillSupply chain finance
SoftBank UK$800M
GROWTH EQUITY
DeliverooDelivering premium restaurant meals
Amazon, Greenoaks, Fidelity, … UK$575M
SERIES G
UiPathRobotic process automation software
Accel, Sequoia, Wellington Management, … Romania / US$568M @ $7B
SERIES D
GetYourGuideBooking platform for attractions
Lakestar, Heartcore Capital, Temasek, … Germany$ 484M @ $1B
SERIES E
Checkout.comInternational online payment solutions for fast-growing businesses
Insight VP, DST Global, GIC, Endeavor Catalyst, …
UK$230M @ $2B
SERIES A
MeeroAI for image processing
Alven, Global Founders Capital, White Star Capital, …
France$230M @ $1B
SERIES C
AdjustMobile intelligence platform for app marketers
Sofina, Highland Europe, Eurazeo, … Germany$227M
GROWTH EQUITY
WorldRemitOnline money transfer
Accel Partners, Technology Crossover Ventures, LeapFrog Investments
UK$175M
SERIES D
GlovoConnects customers with independent local couriers
Lakestar, Idinvest Partners, Drake Star, … Spain$170M
SERIES D
0
20
40
60
80
100
Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2
2014 2015 2016 2017 2018 2019
Source: Dealroom.co
Quarterly European Venture Capital report – Q2 2019
July 2019Page / 4
Mega rounds (>$100M) in North America, Europe and Asia
16
32
71 North America
Asia
Europe
The evolution of mega rounds: a new record set in Europe and a slow down in North America and Asia.
Quarterly European Venture Capital report – Q2 2019
July 2019Page / 5
Source: Dealroom.co. Excludes buyouts, secondary transactions, debt, ICOs, lending capital, grants.
Notable roundsQ2 2019
$1.0BGrowth Equity
$800MGrowth Equity
$575MSeries G
$568MSeries D
$484MSeries E
$230MSeries A
QuarterlyInvestment
Europe
$1.0BSeries A
$750MSeries D
$447MGrowth Equity
$363.6MGrowth Equity
$298MSeries A
$420MLate VC
Asia
$1.5BLate VC
$1.2BGrowth Equity
$600MSeries G
$500MGrowth Equity
$420MGrowth Equity
$500MGrowth Equity
North America
Compared to Asia and North America, Europe is the only region showing a significant VC investment growth in 2019 to date.
$ 6.3B $ 6.0B $ 5.2B $ 5.9B $ 6.4B $ 6.2B $ 5.8B $ 7.5B
$ 10.3B
Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2
2017 2018 2019
$ 18.9B
$ 26.5B $ 29.0B
$ 18.8B
$ 41.2B
$ 30.5B $ 29.7B
$ 18.2B $ 15.1B
Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2
2017 2018 2019
$ 21.8B $ 24.5B
$ 22.0B
$ 28.5B
$ 34.1B $ 37.8B
$ 34.1B $ 35.2B
$ 30.3B
Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2
2017 2018 2019
Source: Dealroom.co
At the same time, investment from the USA and Asia into Europe has shifted quite dramatically in 2019 to date, reaching more than 40% of total investment.
Quarterly European Venture Capital report – Q2 2019
July 2019Page / 6
Investment in Europe by source, in € amounts% of European rounds with at least one USA or Asian investor
10%
16%
21%
2013 2014 2015 2016 2017 2018 2019E
27% 27% 25%20%
26% 26% 29%
2%6%
4%
6%
11% 8%
17%
6%
5%
3%3%
4%5%
3%22%
21%25%
24%
18% 22%
22%
43% 41% 43% 46%41% 38%
30%
0%
25%
50%
75%
100%
'13 '14 '15 '16 '17 '18 '19 YTD
Domestic
Europe cross-border
Rest of World (incl Africa)
Asia
USA
Source: Dealroom.co
Year to date, already €19 billion was invested in Europe & Israel in 2019 compared with €15 billion same time last year.
Quarterly European Venture Capital report – Q2 2019
July 2019Page / 7
Cumulative amount invested – 2019 vs. 2018 (€B) Cumulative number of rounds – 2019 vs. 2018 (>€2M)
832
2,061
807
–
500
1,000
1,500
2,000
2,500
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
2018 2019
€ 15B
€ 29B
€ 19B
–
€ 5.0B
€ 10.0B
€ 15.0B
€ 20.0B
€ 25.0B
€ 30.0B
€ 35.0B
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
2018 2019
Source: Dealroom.co
The UK, Germany, France and Sweden received more than 70% of total VC investment in Q2 2019.
Quarterly European Venture Capital report – Q2 2019
July 2019Page / 8
Investment by country Q2 ‘19 Number of rounds Q2 ’19
234
131
119
73
58
57
56
26
25
23
18
17
16
14
14
United Kingdom
France
Germany
Israel
Sweden
Spain
Netherlands
Italy
Switzerland
Finland
Belgium
Norway
Ireland
Denmark
Portugal
€ 3.2B
€ 1.4B
€ 1.3B
€ 1.3B
€ 1.1B
€ 0.5B
€ 0.4B
€ 0.2B
€ 0.2B
€ 0.2B
€ 0.1B
€ 0.1B
€ 0.1B
$ 0.1B
€ 0.1B
United Kingdom
France
Sweden
Germany
Israel
Romania
Spain
Netherlands
Belgium
Finland
Switzerland
Italy
Denmark
Poland
Norway
Source: Dealroom.co
Q2 was one of the most active quarter for UK and France and also for the rest of Europe excluding the big three.
Quarterly European Venture Capital report – Q2 2019
July 2019Page / 9
Quarterly Investments in UK, Germany, France
€ 2.4B
€ 2.3B
€ 2.4B
€ 1.5B
€ 2.0B
€ 2.2B € 2.2B € 2.1B
€ 3.2B
€ 0.8B
€ 0.6B € 0.7B € 0.8B
€ 1.4B
€ 0.8B € 0.8B
€ 1.3B € 1.4B
€ 1.1B
€ 0.8B
€ 0.6B
€ 2.0B
€ 0.8B € 0.8B
€ 1.0B
€ 1.2B € 1.3B
€ 1.8B
€ 3.1B
€ 2.0B € 2.0B
€ 2.6B € 2.6B
€ 2.2B
€ 2.9B
€ 3.8B
–
€ 1.0B
€ 2.0B
€ 3.0B
€ 4.0B
Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2
2017 2018 2019 2017 2018 2019 2017 2018 2019 2017 2018 2019
United Kingdom France Germany The rest of Europe
Q2 2019 Investment By Industry YoY change (%)
+134%
+ 40%
+277%
(34%)
+156%
+156%
+10%
+69%
+132%
+56%
(73%)
€ 3.2B
€ 2.3B
€ 1.4B
€ 1.2B
€ 1.2B
€ 1.1B
€ 0.9B
€ 0.7B
€ 0.6B
€ 0.6B
€ 0.1B
Fintech
Enterprise software
Energy
Health
Food
Marketing
Transportation
Security
Robotics
Travel
Gaming
Q2 2019 Investment By business model YoY change (%)
+56%
+81%
(4%)
+231%
(31%)
€ 4.6B
€ 2.5B
€ 2.3B
€ 1.5B
€ 0.7B
SaaS
Marketplace
Manufacturing
eCommerce
Mobile app
Source: Dealroom.co. industries, business models and can and do overlap.
Increased focus on SaaS and marketplace business models along with fintech industry compared to Q2 2018.
Quarterly European Venture Capital report – Q2 2019
July 2019Page / 10
Source: Dealroom.co
European VC and Corporate VC funds continue to raise money to invest in startups: 70+ new funds announced in the first half of 2018.
Quarterly European Venture Capital report – Q2 2019
July 2019Page / 11
NAME LOCATION FUND SIZE
Accel partners London / Palo Alto €500M
Creandum Stockholm €265M
LocalGlobe (Seed & Latitude) London $295M
Cherry ventures Berlin €175M
Dawn Capital London $125M
NAME LOCATION FUND SIZE
Deutsche Telekom Capital Hamburg €308M
574 Invest (SNCF) Paris €160M
Salesforce (Europe) London / San Francisco €125M
Rabobank Brainport Utrecht €100M
Capgemini Paris €90M
Notable funds raised inQ2 2019
VC funds announced since Q2 2018 Corporate VC funds announced since Q2 2018
€ 2.7B
€ 3.7B
€ 1.4B
€ 2.1B
€ 3.3B 32
51
30 30 35
0510152025303540455055
–
€ 2.0B
€ 4.0B
€ 6.0B
Q2 Q3 Q4 Q1 Q2
2018 2019
€ 0.1B € 0.2B
€ 0.6B
€ 1.0B € 0.8B
1
3
4
5
6
0
1
2
3
4
5
6
7
–
€ 0.5B
€ 1.0B
€ 1.5B
€ 2.0B
Q2 Q3 Q4 Q1 Q2
2018 2019
Source: Dealroom.co
One third of the VC funds announced in Q2 2019 were funds larger than $100M and more concentrated in UK, France, Germany and Nordics.
Quarterly European Venture Capital report – Q2 2019
Investor Location Fund size Date Focus
Accel partners London / Palo Alto € 500M May 2019 Series A
Cathay Innovation Paris € 320M Jun 2019 Series B
Creandum Stockholm €265M Jun 2019 Series A
Cherry Ventures Berlin €175M Jun 2019 Seed
Latitude (by LocalGLobe) London $180M Jun 2019 Series B
Vesalius Biocapital Luxembourg €120M Jun 2019 Series A
Dawn Capital London €113M Jun 2019 Series A
GP Bullhound London €113M Jun 2019 Early VC
Velocity Capital Fintech Ventures Driebergen- Rijsenburg €105M Jun 2019 Series A
LocalGlobe London $115M Jun 2019 Seed
ByFounders Copenhagen €100M Apr 2019 Seed
July 2019Page / 12
GetYourGuide (Germany)Travel
$484M Series E$1B Valuation
Therachon (Switzerland)Health
Pfizer Acquisition€304M
Nexi (Italy)Fintech€2B IPO
An eventful quarter so far: 4 new unicorns and 8 large European VC exits.
Quarterly European Venture Capital report – Q2 2019
July 2019Page / 13
Valuation
Monzo (UK)Fintech
£113M Series F£2B Valuation
Greensill (UK)Fintech
$800M Growth Equity$3.5B Valuation
Drivy (France)Transportation
GetAround Acquisition€267M
Transferwise (UK)Fintech
$292M Secondary$3.5B Valuation
Kiwi.com (Czechia)Travel
General Atlantic Acquisition
UiPath (Romania)Robotics
$568M Series D$7B Valuation
Klarna (Sweden)Fintech
$93M $3.5B Valuation
Doc Generici (Italy)Pharmaceuticals
$1.2B Buyout
Acuris (UK)Fintech
ION Group Acquisition£1.4B
Checkout.com (UK)Fintech
$230M Series A$2B Valuation
SecureLink (NL)Security
Orange Acquisition€515M
April May June
Meero (France)Media
$230M Series C$1B Valuation
Ivalua (France)Fintech
$60M Growth Equity$1B Valuation
You can explore all this data, and more, online now
The most comprehensive source for data on innovative companies and venture capital investment
77% more startup data
than the #2
Number of European rounds tracked in 2018
More data per company to
discover promising companies
blog.dealroom.co
If you like this report, please share it!
Gligor Micajkov
Research Analyst
Ivan Draganov
Research Analyst
Lotf Belych
Research Analyst
For questions or feedback about this report, or to see how Dealroom can help you, please feel free to contact us.