Monthly European Venture Capital report

11 December 2018

November 2018

November was the third most active month of 2018 with investment of €2.7 billion

Source: Dealroom.co. Includes Israel. Excludes buyouts, secondary transactions, debt, ICOs, lending capital, grants.

Investment in Europe, Israel & Biotech

2

Impact of mega-rounds

€ 1.6B

€ 1.2B

€ 1.9B

€ 1.5B € 1.6B € 1.6B

€ 2.3B € 2.2B

€ 1.9B

€ 1.7B € 1.7B

€ 2.1B € 1.9B

€ 2.0B

€ 1.7B

€ 2.5B

€ 1.8B

€ 2.0B

€ 2.2B

€ 2.6B

€ 2.9B

€ 2.4B

€ 2.1B € 2.1B

€ 2.8B € 2.7B

–

€ 0.5B

€ 1.0B

€ 1.5B

€ 2.0B

€ 2.5B

€ 3.0B

€ 3.5B

Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov

2018

Europe excl. Israel Biotech Israel

€ 1.3B

€ 0.9B

€ 1.3B

€ 1.0B

€ 1.1B

€ 1.4B

€ 1.7B

€ 1.8B

€ 1.4B

€ 0.9B

€ 1.5B

€ 1.8B € 1.8B

€ 0.3B

€ 0.4B

€ 0.3B

€ 0.2B

€ 0.4B

€ 0.4B

€ 0.4B € 0.4B

€ 0.4B

€ 0.4B

€ 0.3B

€ 0.5B € 0.4B

€ 0.4B

€ 0.3B

€ 0.8B

€ 0.6B

€ 0.4B

€ 0.4B

€ 0.5B

€ 0.7B

€ 0.6B

€ 0.8B

€ 0.3B

€ 0.4B € 0.4B

€ 2.0B

€ 1.7B

€ 2.5B

€ 1.8B

€ 2.0B

€ 2.2B

€ 2.6B

€ 2.9B

€ 2.4B

€ 2.1B € 2.1B

€ 2.8B € 2.7B

–

€ 0.5B

€ 1.0B

€ 1.5B

€ 2.0B

€ 2.5B

€ 3.0B

€ 3.5B

Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov

2018

All other rounds Top 10 largest rounds Top 3 largest rounds

The 10 largest rounds in November accounted for €0.8B or 30% of total investment

Source: Dealroom.co. Excludes buyouts, secondary transactions, debt, ICOs, lending capital, grants. 3

NAME INVESTORS INDUSTRY LOCATION ROUND VALUATION

Roivant SciencesHealthcare company focused on rapidly developing innovative medicines.

NovaquestRTW Investments

Health Switzerland$ 200 m

GROWTH EQUITY$ 7.0 b

BlaBlaCarMulti-mode search tool that compares rail, air, bus and car for European destinations

SNCFTravel

TransportationFrance

$ 114 mGROWTH EQUITY

$ 1.8 b

BitFury GroupLargest full-service blockchain technology company.

Dentsu, iTech Capital, Naver, Macquarie Group, Final Frontier

Fintech Semiconductors

Netherlands$ 80 m

LATE VC-

G.NetworkProvides fibre connectivity to businesses in Central London

Cube Infrastructure Managers Telecom UK£ 60 m

LATE VC-

HabanaDeveloping disruptive solutions that shape the future of AI and Deep Learning.

Battery Ventures, Bessemer Venture Partners, Intel Capital, WRV Capital

Semiconductor Israel$ 75 m

SERIES B$ 500m

ValensInventor and world leader in HDBaseT technology

Linse CapitalOppenheimer & Co

Transportation Semiconductor

Israel$ 63 m

GROWTH EQUITY-

LightricksDeveloping fun and powerful visual editing aps for user creating content

Insight Venture PartnersClalTech

Enterprise Software Israel$ 60 m

LATE VC-

ApreaDeveloping novel anti-cancer compounds

HealthCap, 5AM Ventures, Rock Springs Capital, Versant Ventures

Sectoral Asset ManagementHealth Sweden

€ 50 mSERIES C

-

Voi TechnologySharing service for electric vehicles

Balderton Capital, Raine VenturesVostok New Ventures, LocalGlobe

Transportation Sweden$ 50 m

SERIES A-

WorkableRecruiting software for SMEs

Balderton Capital, Zouk Capital, Notion Capital, 83North

TriplePoint Capital

JobsEnterprise Software

UK$ 50 m

SERIES D-

Go to online data »

€ 24B

€ 25B

€ 26B

–

€ 5B

€ 10B

€ 15B

€ 20B

€ 25B

€ 30B

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

2017 2018

1,792

1,758

–

200

400

600

800

1,000

1,200

1,400

1,600

1,800

2,000

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

2017 2018

2018 continues to be on track for an all-time record, ahead of 2017 so far (which was a record year itself)

Source: Dealroom.co. Includes Israel. Excludes buyouts, secondary transactions, debt, ICOs, lending capital, grants.1. Rounds below $2M are often reported with a delay of several months. Therefore, only rounds above $2M are shown here for better like-for-like comparison. 4

Cumulative amount invested – 2018 vs. 2017 (€B) Cumulative number of rounds – 2018 vs. 2017 (>€2M)

The UK, Germany, France and Israel (the big four) continue to receive 70% of total investment

5

11% YoY growth

87%

17%

10%

(35%)

(10%)

(11%)

(17%)

10%

43%

Number of rounds Jan-Nov ’18 (1)Investment by country (€B) Jan-Nov ‘18

Source: Dealroom.co. Excludes buyouts, secondary transactions, debt, ICOs, lending capital, grants.1. Rounds below $2M are included here.

768

563

520

289

282

232

214

194

141

125

125

95

91

74

59

39

39

31

30

United Kingdom

France

Germany

Spain

Sweden

Israel

Netherlands

Italy

Switzerland

Ireland

Finland

Russia

Norway

Denmark

Belgium

Austria

Poland

Estonia

Hungary

€ 6.6B

€ 4.1B

€ 3.7B

€ 2.9B

€ 1.3B

€ 1.2B

€ 1.1B

€ 0.7B

€ 0.6B

€ 0.5B

€ 0.5B

€ 0.4B

€ 0.4B

€ 0.4B

€ 0.3B

€ 0.2B

€ 0.2B

€ 0.1B

€ 0.1B

United Kingdom

Germany

France

Israel

Spain

Switzerland

Sweden

Ireland

Netherlands

Italy

Finland

Denmark

Belgium

Portugal

Russia

Norway

Estonia

Cyprus

Austria

Source: Dealroom.co. Excludes buyouts, secondary transactions, debt, ICOs, lending capital, grants.1. Rounds below $2M are included here. 6

By investment, the UK continues its lead, followed by Germany and France

2018 cumulative number of rounds (1)2018 cumulative amount invested by country

€ 6.6B

€ 4.1B

€ 3.7B

€ 2.9B

–

€ 1.0B

€ 2.0B

€ 3.0B

€ 4.0B

€ 5.0B

€ 6.0B

€ 7.0B

€ 8.0B

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov

United Kingdom Germany France Israel

768

520

563

232

–

100

200

300

400

500

600

700

800

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov

United Kingdom Germany France Israel

Health, fintech and enterprise software continue to be the most invested industries

Source: Dealroom.co. Excludes buyouts, secondary transactions, debt, ICOs, lending capital, grants.Note: industries, business models and keywords can and do overlap. 7

By industry vertical Business model By keyword

Number of

rounds 2018

Jan - Nov

Amount (€B)

invested 2018

Jan - Nov

€ 5.3B € 5.1B € 4.5B

€ 3.0B € 2.9B

€ 1.6B € 1.5B € 1.4B € 1.4B € 1.3B € 0.9B € 0.9B € 0.6B € 0.6B € 0.6B € 0.5B € 0.4B

€ 9.5B

€ 6.9B

€ 4.7B

€ 3.0B € 2.6B

€ 7.0B

€ 2.7B

€ 1.0B € 0.7B € 0.2B

825

634 619

336 335 280 262 216 212 188 187 133 106 101 94 78 67

1,625

879

501

300 246

1,256

552

238 188 136 42

Noticeable increase of €1.3 billion in travel & transportation compared to last year.

8

Absolute

change

vs. last

year (in

€B)

% change

vs. last

year

(number

of

rounds)

Source: Dealroom.co. Excludes buyouts, secondary transactions, debt, ICOs, lending capital, grants.Note: industries, business models and keywords can and do overlap.

By industry vertical Business model By keyword

€ 0.8B € 0.6B

€ 0.5B € 0.4B € 0.3B € 0.2B € 0.1B € 0.1B € 0.0B

(€ 0.0B) (€ 0.2B) (€ 0.2B) (€ 0.2B) (€ 0.3B) (€ 0.4B) (€ 0.5B)

(€ 1.0B)

€ 1.4B € 1.3B

€ 1.1B

(€ 0.4B) (€ 0.5B)

€ 0.5B € 0.3B

(€ 0.2B) (€ 0.4B) (€ 0.4B)

31% 26%

15% 15% 14% 9% 9% 7% 6%

2% 2% –

(1%) (3%)(8%)

(10%)

(18%)

31% 30%

16%

(13%) (14%)

32%

23%

13%

8%

(22%)

European funding in travel & transportation has continuously increased, now at 3.5x relative to 2014

9Source: Dealroom.co. Excludes buyouts, secondary transactions, debt, ICOs, lending capital, grants.Note: industries, business models and keywords can and do overlap.

Amount invested (€B) in travel & transportation Selected Investments in 2018 Location Round

Auto1 GroupMarketplace for used and new cars

Germany € 460 m

Growth Equity€3.0B valuation

TaxifyRide-hailing app in Europe and Africa

Estonia$ 175 mLATE VC

$1.0B valuation

CabifyCar booking web and mobile app

Spain$ 160 mSERIES E

$1.4B valuation

GoEuroTransportation comparison tool

Germany$ 150 m

Growth Equity$1.0B valuation

BlaBlaCarConnecting drivers with people looking for a ride

France€ 101 m

Growth Equity

Voi TechnologySharing service for electric vehicles

Sweden$ 50 m

SERIES A

TourRadarOnline marketplace for group tours

Austria$ 50 m

SERIES C

DreamlinesOnline travel agency focused on cruises

Germany€ 45 m

SERIES E

TravelPerkSaaS platform for business travel

Spain€ 38 m

SERIES C

WunderRide sharing mobile application

Germany$ 30 m

SERIES B

€ 0.6B

€ 0.9B

€ 1.4B

€ 2.0B

€ 2.4B

€ 0.2B

€ 0.3B

€ 0.2B

€ 0.4B

€ 0.7B

€ 0.3B

€ 0.5B

€ 0.3B

€ 0.3B

€ 0.8B

€ 1.1B

€ 1.7B € 1.9B

€ 2.7B

€ 3.9B

–

€ 0.5B

€ 1.0B

€ 1.5B

€ 2.0B

€ 2.5B

€ 3.0B

€ 3.5B

€ 4.0B

€ 4.5B

2014 2015 2016 2017 2018

All other rounds Top 10 largest rounds Top 3 largest rounds

409 438

293

–

50

100

150

200

250

300

350

400

450

500

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

2017 2018

€ 42B

€ 44B

€ 109B

–

€ 20B

€ 40B

€ 60B

€ 80B

€ 100B

€ 120B

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

2017 2018

By VC backed exits, 2018 is far ahead of 2017 driven by a handful of mega-exits

Source: Dealroom.co 10

Cumulative value of VC-backed exits – 2018 vs. 2017 Cumulative number of VC backed exits – 2018 vs. 2017

November counted for €0.5 billion of venture backed exits.

Source: Dealroom.co

NAME ACQUIROR SELLER INDUSTRY LOCATION TRANSACTION VC BACKED

CarsOnTheWebOnline auction service for second hand car owners and car traders

KAR Auction Services

ABN AMROVortex Capital Partners

Luc De VosSteven Lismont

Transportation Belgium€ 156 m

ACQUISITION✓

SiltectraWater treatment technologies

Infineon Technologies

MIG Verwaltungs AGGlobal Asset Fund Semiconductors Germany

€ 124 mACQUISITION

✓

Security MattersProvides best-of-class industrial cyber resilience technology

ForeScoutEmerald Technology Ventures,

KPN, Robert Bosch, Phoenix Contact

Security Netherlands$ 113 m

ACQUISITION✓

Massive InteractiveProvider of technology/design services and software in area of ip video

Deltatre - Media UK$ 92 m

ACQUISITION✓

Phd NutritionPremium sport nutrition

Science in Sport PLC

-SportsFood

UK£ 32 m

ACQUISITION

Coffee Strain StudiosSwedish developer & publisher making games using Unreal Technology

THQ Nordic - Gaming Sweden€ 31.7 m

ACQUISITION

Renalytix AIArtificial Intelligence for kidney disease

- - Health UK£ 25 m

IPO✓

VIST Mining TechnologyProviding automated control systems to railways and mines

Zyfra -Energy

RoboticsRussia

$ 30 mACQUISITION

VOGOInnovative in-venue live & replay experience for multi sector events

-CM-CIC Capital Prive

Natixis

MediaSports

France€ 14.2 m

IPO✓

NetatmoWeather station for iPhone and Android, with air quality sensors

LegrandIris Capital, Bpifrance,

C4 Ventures IoT France ACQUISITION ✓

11

Go to online data »

UK and Sweden are leading by VC-backed exits

Source: Dealroom.co 12

11% YoY growth

87%

17%

10%

(35%)

(10%)

(11%)

(17%)

10%

43%

Acquisitions & IPOs of venture-backed

companies (€B) Jan-Nov ‘18

Acquisitions & IPOs of venture-backed

companies (€B) Jan-Nov ‘18

€ 35.9B

€ 32.0B

€ 11.5B

€ 6.6B

€ 5.9B

€ 5.0B

€ 4.5B

€ 2.9B

€ 2.5B

€ 0.9B

€ 0.4B

€ 0.4B

€ 0.3B

€ 0.2B

United Kingdom

Sweden

Netherlands

Germany

France

Italy

Belgium

Czech Republic

Israel

Turkey

Iceland

Switzerland

Ireland

Austria

71

41

37

22

14

14

10

9

8

8

5

5

4

4

3

United Kingdom

France

Germany

Sweden

Spain

Netherlands

Italy

Switzerland

Ireland

Belgium

Poland

Finland

Denmark

Russia

Norway

Source: Dealroom.co 13

By exits, the UK is now in the lead following a string of sizeable acquisitions and IPOs

Cumulative value of exits in 2018 Selected exits

Italy, France, Germany

Netherlands

Sweden

United Kingdom

€ 35.9B

€ 32.0B

€ 11.5B

€ 5.0B

€ 0.0B

€ 10.0B

€ 20.0B

€ 30.0B

€ 40.0B

€ 50.0B

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov

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