Europe: VC Funding 2nd Highest in Q1, Median Raise Hits €3 Million

Venture capital deals in Europe during Q1 were pretty strong, according to the most recent Dow Jones Venture Capital Report.

According to the publication, VC funding “surged” in Q1 22% – the second best quarter on record.

In total, €6.79 billion was raised for 743 funding rounds. This amount is just shy of the best period during Q4 of 2015 when VC funding topped €7.06 billion. The median deal size hit €3 Million as the overall number of rounds declined. There may be a trend towards later stage deals that are deemed less risky.

The top sector for funding was the Business & Financial Services sector. Dow Jones reports that 185 rounds raised €2.55 with Fintech OakNorth Holdings, a provider of loans and banking services to SMEs, raised €384 million.

Digital challenger bank N26 was on the list having closed on a €264.35 million round in January.

Even as Brexit stress troubles the UK, the country still held onto the VC deal crown with 29% share of the funding. But even while besting its European peers, this percentage is down considerably from its 3 year average of 35%. France and Germany came in second and third place, respectively.

The report said that initial public offerings (IPOs) for venture-backed firms were in “feeble shape.”

The report is embedded below.




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