Funding in Europe falls to the lowest level since Q2'20 as deals decline by 10% in Q1'23.
Funding to Europe-based companies reached $10.4B in Q1’23, a fall of 12% and the lowest quarterly total since Q2’20. Deals tumbled by 10% to 1,608, the smallest tally since Q3’20.
Other 2022 highlights across the European venture ecosystem include:
- Funding to UK-based companies fell by 14% quarter-over-quarter (QoQ) to $3B. Deals fell 10% QoQ, from 470 to 422. Other major European hubs such as France, Germany, and the Netherlands saw their funding levels remain steady QoQ, while deal counts trended up for France and Germany.
- Europe’s IPO market remained stable in Q1’23, with 11 IPOs taking place. The M&A deal count fell by 1% to 867 in Q1’23, the fourth consecutive quarter of decline.
- European investors had their eyes set on climate tech — in Q1’23, 3 out of the top 10 deals went to companies focused on sustainability or renewable energy.
CB Insights clients can see all the latest investment data for Europe by signing in and downloading the full State of Venture Q1’23 Report: Europe using the sidebar.
Dig into investment trends from around the world in our global State of Venture Q1’23 Report.
