A record amount of venture capital investments in Finland in 2019

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A record amount of venture capital investments in Finland in 2019

The report ‘Investing in Europe: Private Equity activity 2019’ collected data on more than 1,400 European private equity firms, covering 86% of the €782 billion in capital under management in Europe. The study discovered that Finland leads the pack in Venture Capital (VC) investments in relation to GDP: Finland boasts the figure of 0,120%, being way above the European average (0,060%).  Finland ranks above the silver and bronze medalists, the UK and Denmark, which are well known for their active venture capital industries.

Business Finland is the Finnish innovation funding, trade, investment, and travel promotion organization, headquartered in Helsinki. Business Finland is fully owned by the Finnish Government. Business Finland employs 600 experts in 40 offices globally and in 20 regional offices around Finland. Business Finland is part of the Team Finland network. More about investment and trade promotion organizations HERE.

Actually, according to the statistics of Finnish Business Angels Network (FiBAN) and The Finnish Venture Capital Association (FVCA), 2019 was a banner year for Finnish startups and growth companies, as they raised a new record amount, €511 million. Business angels invested €54 million, a new all-time high, and Finnish VC funds invested €113 million. Foreign investors invested €295 million into Finland.

Last year, a record amount of VC investments was also made: 176 Finnish startups received a total of €293 million in venture capital investments

Last year, a record amount of VC investments was also made: 176 Finnish startups received a total of €293 million in venture capital investments. The average size of later-stage venture capital investments rose to a record of €9 million. According to statistics, the most significant increase in investments came from foreign VC funds, which invested €180 million into Finnish companies.

What makes Finland’s performance even more impressive, is the fact that this Nordic country full of entrepreneurial vibe was on the top of the very same Invest in Europe study the previous year, as well. Director Marjo Ilmari from Business Finland credits the strong momentum to ambitious startup entrepreneurs, consistency and hard work:

“There’s been a big shift in VC investments during the last ten years – and especially the last five have been very dynamic,” she says.

Source/Image Credit: Business Finland