Balderton Capital today announced the closure of its $1.3 billion early-stage and growth funds, a sign that the European technology sector is regaining investor confidence and momentum.
We are often dismayed by the lack of support for European entrepreneurship and innovation compared to those across the pond. However, there are investors who champion the region's changemakers, such as Balderton, which invests exclusively in European startups and scaleups.
The new funds – the $615 million Early Stage Fund IX and the $685 million Growth Fund II – will support “Europe’s most ambitious entrepreneurs from seed stage to IPO,” the venture capital firm said in a statement.
Encouragingly for the European technology sector, Balderton said he is seeing strong demand from global LPs, reflecting data showing that European funds have outperformed their North American counterparts over 10- to 15-year periods.
TNW Conference 2025 – Back to NDSM on June 19-20, 2025 – Save the date!
Having concluded our incredible 2024 edition, we are delighted to announce our return to Amsterdam NDSM in 2025. Register now!
Having backed over 275 technology companies across Europe since its founding in 2000, Balderton has grown to know the ins and outs of investing (as demonstrated by initiatives such as the launch of the Founders Wellbeing and Performance Platform earlier this year). And while some VCs specialise in specific sectors, Balderton's investments cover a broad spectrum of the technology ecosystem.
Sector diversification means resilience
Balderton’s current portfolio includes neobanks – and Europe’s most valuable startup – Revolutthe mobile gaming company Dream Games, the automated driving technology startup Wayve and the femtech app Clue. Startups such as the peer-to-peer shopping platform Depopthe cybersecurity provider Darktrace and the AI chip developer Graphcore (recently acquired by SoftBank) are among the investments made so far.
“At Balderton, we believe that the best way to change the world is to build a company – and that many of these world-changing companies are built in Europe,” said Bernard Liautaud, Managing Partner at Balderton. “As a company, our mission is simple: to be the partner of choice for the founders who are starting and growing these European technology companies. These new funds enable us to do just that.”
The European VC market, while smaller than the US, has proven resilient due to greater sector diversification, as Balderton's approach shows. It saw a rebound in Q2 2024, particularly in AI and SaaS, while climate tech sectors such as energy performed relatively strongly despite the downturn of recent years. However, the European market continues to face challenges when it comes to IPOs, with most exits occurring through acquisitions instead.
Comments are closed.