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Q2 2021
European VC Valuations Report
August 31, 2021
Europe’s flourishing VC scene pushes valuations to record heights
Valuations of European VC-backed companies have yet again broken records in the first six months of the year across all financing stages. The overwhelming amount of capital flowing into Europe’s VC ecosystem has created upward pressure on round sizes, leading to higher valuations.
PitchBook's Q2 2021 European VC Valuations Report takes a deep dive into the reasons behind this remarkable growth, breaking down the data on valuations across various stages, sectors, regions, and investor types.
Key takeaways
Valuations of European VC-backed companies have yet again broken records in the first six months of the year across all financing stages. The overwhelming amount of capital flowing into Europe’s VC ecosystem has created upward pressure on round sizes, leading to higher valuations.
PitchBook's Q2 2021 European VC Valuations Report takes a deep dive into the reasons behind this remarkable growth, breaking down the data on valuations across various stages, sectors, regions, and investor types.
Key takeaways
- The increased presence of nontraditional investors in the European VC ecosystem continues to push valuations to new heights despite the macroeconomic uncertainty and potential stagflation created by the pandemic.
- A stable of new unicorns have been minted in 2021, further adding to Europe’s impressive aggregate unicorn valuation amount, which has now reached a dizzying €247.3 billion.
- Valuations upon exit in H1 2021 paced well above last year’s figures as tech companies took advantage of favorable market conditions and the tech-centered tailwinds driven by COVID-19.