German VC on a high
Investment activity in venture capital-supported European tech companies reached a four-year high in 2014, with funding spiking 78% to total $5.7 billion and the number of deals reaching 855. And the most active VC in the EU? That would be Germany’s High-Tech Gründerfonds, a public-private investment firm, while Index Ventures and Accel Partners made up the top three, according to the 2014 European Tech Report from CB Insights.
Unsurprisingly, the UK had the highest number of deals in Europe last year, and Germany was the only other market to break 100 deals as Berlin continued to develop strongly. However, nowhere has seen steeper growth in tech deals over the past two years than Italy. The market had under 30 venture-backed deals in 2011 and 2012, but the total has climbed to over 70 in the past two years.
Four of the seven most well-funded EU tech companies were in ecommerce. Germany’s Delivery Hero grabbed the most cash, raising a total $1.22 billion, with the company currently closing on an additional $563 million from Berlin-based Rocket Internet.
On the subject of Germany, High-Tech Gründerfonds has seen 400 companies successfully launched since 2005. In addition to the €576 million originating from its own funds, more than €840 million in additional capital has been raised in some 700 follow-on rounds of financing. High-Tech Gründerfonds has exited 41 of its portfolio companies since 2005.