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European Venture Capital Financings, 2008-2013 YTD (As at 28 March 2013)

by Gemma Morris

  • 28 Mar 2013
  • PE

Since 2008 there have been 4,782 venture capital financings announced in Europe with an aggregate value of €19.21bn. The total value of venture capital investments in European companies has increased from €3.11bn in 2009 to €4.12bn in 2012.

There were 936 financings in Europe in 2008 with aggregate value of €3.57bn. The following two years witnessed 805 financings at a total value of €3.11bn in 2009, and 918 financings with an aggregate value of €3.62bn in 2010.

During 2011, 853 venture capital deals valued at €4bn were announced in Europe, an 11% increase in deal value from 2010 despite a 7% drop in the number of financings, resulting in an increase in average venture capital deal value between 2010 and 2011.

The largest financing during 2011 that contributed to the increase in the total value was the $155mn series C financing of Klarna, a Swedish e-commerce payments solutions company. The funding came from General Atlantic and DST Global. Another particularly large investment was the series F funding of Danish biopharmaceutical company Symphogen in February 2011, when Essex Woodlands Health Ventures, Novo Ventures and Pensionskassernes Administration invested €100mn in the company.

There was a rise in both the aggregate value and the total number of venture capital financings from 2011 to 2012. The total value increased by nearly 3% to €4.12bn while the number increased by nearly a fifth compared to the previous year and stood at 1,019 – the highest number of European venture capital financings between 2008-2013 to date.

Q2 2012 in particular contributed to this increase, when the volume of financings peaked at 294 deals, with an aggregate value of €1.23bn, the highest quarterly level witnessed across the period from 2008. In contrast, Q3 2012 saw a 30% decrease in the number and 28% fall in the aggregate value of financings on the previous quarter, followed by a 36% increase in the number and 22% rise in total value in Q4 2012 showing the fluctuant nature of the flow of European venture capital financings during the past year.

251 European financings have taken place in 2013 so far. This number is higher than the quarterly average of 228 financings from 2008 to present. Despite this, these financings represent a low value of €0.77bn, the lowest quarterly aggregate value since the €0.76bn in Q2 2009.

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