Although Germany might be best known for its industrial prowess and "Mittelstand" economic backbone, it is also home to a well-established international PE and VC scene. This shouldn’t surprise: Germany has a highly educated workforce, a long tradition of world-class engineering and the business acumen to create an environment in which startups can thrive. Cities such as Berlin, Hamburg and Munich not only offer lower rents than London, they are also providing a regulatory backdrop in which entrepreneurs and their backers can do business.
Since the start of 2015, 391 VC firms have participated in at least one of the 648 completed venture deals involving startups based in Germany, according to the PitchBook Platform. Invested capital through these deals was €2.36 billion in 2015, €1.51 billion in 2016 and stands at €340 million so far this year.
Germany-based IT startups have accounted for 45% of the deal flow in the time period, followed by B2C (23%) and B2B (14%).
Here are the top five VC investors (excluding accelerators) in German companies since the beginning of 2015, along with their investment counts: