🚀 𝐓𝐨𝐮𝐠𝐡 𝐓𝐢𝐦𝐞𝐬 𝐟𝐨𝐫 𝐄𝐮𝐫𝐨𝐩𝐞𝐚𝐧 𝐕𝐂𝐬 & 𝐒𝐭𝐚𝐫𝐭𝐮𝐩𝐬 📉 Let's look at the market sentiment for fundraising on both sides 👉🏽
Data from Invest Europe reveals a challenging first half of 2023 for European #VC funds, raising only €7bn, half of last year's total. VC investments into startups also halved, hitting €6bn.
📊 The key #challenges of the record-low market sentiment include a blocked exit market and #fundraising difficulties, worsened by a lack of domestic LPs.
𝐊𝐞𝐲 𝐭𝐚𝐤𝐞𝐚𝐰𝐚𝐲𝐬:
1️⃣ 70% of VCs see the fundraising environment as bad, with 2/3 expecting it to worsen.
2️⃣ 28% report a decrease in investment activity, impacting co-investor availability.
3️⃣ 79% fear high interest rates may shrink LPs' #venture capital appetite.
4️⃣ 45% note decreased competition, leading to lower entry prices.
📈 𝐎𝐩𝐭𝐢𝐦𝐢𝐬𝐦 𝐞𝐱𝐢𝐬𝐭𝐬 & luckily, currently, I feel like every fund is in deep due diligence to close deals until the end of 2023. So hopefully, H2 2023 will look much better...
1️⃣ 58% expect investments to pick up in the next year.
2️⃣ Germany, France, and the UK are promising #investment destinations.
🌐 𝐕𝐞𝐫𝐭𝐢𝐜𝐚𝐥 𝐟𝐨𝐜𝐮𝐬: AI, deeptech, and cleantech have been the top choices for future investments.
The road ahead may be tough, but a #turnaround is anticipated by most in the coming year. Let's navigate these challenges together and reach out if you need support!
#EuropeanVenture #Market #trends #venturecapital #investors
Digital Director - Solutions and Delivery at East and North Hertfordshire NHS Trust Healthcare Intrapreneur, disruptor, and questioner of all things assumed normal
2moCongratulations Ahti Heinla and team 🙌🏻