Placeholder canvas
9.3 C
Thursday, February 29, 2024
HomeTechnologyEurope sees the emergence of two major equity funds in a surprising...

Europe sees the emergence of two major equity funds in a surprising move.


Related stories

Rockstar Games ends remote work, blames leaks ahead of Grand Theft Auto VI release.

Rockstar Games, a division of Take-Two Interactive Software Inc.,...

Confusion Stirs as Labor Department Sends Email on Consumer Prices.

The US Labor Department's statistical agency sent out a...

House to vote on deal to end government shutdown and extend deadlines.

Lawmakers are pushing to pass a short-term government spending...

Top stocks to buy on Wall Street this Tuesday in 13 words or less

Wall Street analysts have been busy making significant calls...

Google Pixel 8 named ‘Best Smartphone’ at MWC 2023

In a remarkable achievement, Google's Pixel 8 series has...

Two large equity funds have launched in Europe recently, signaling a potential shift in the market. Liquidity Group, a growth-stage debt financier, raised $40 million earlier this year and introduced a $250 million debt fund for European tech companies. Liquidity uses its technology to make faster decisions on deploying debt facilities, and it also operates Mars Growth Capital Europe, a debt fund for late-stage European tech companies. Now, Liquidity and MUFG are launching five non-dilutive (debt) funds under Mars, including the first equity fund aimed at late/growth-stage companies. MUFG is also increasing its capital commitments to MARS Growth Capital’s non-dilutive funds from $750 million to $1 billion.

In addition, Dawn Capital, a specialist B2B software venture capital firm in Europe, raised $700 million for investment. This includes the $620 million Dawn V fund for Series A and B stages, with investments ranging from $10 million to $40 million, and the $80 million Dawn Opportunities III fund for later-stage companies at Series C stage onwards. Dawn Capital has previously invested in successful companies such as Mimecast, iZettle, and Tink. The firm sees great opportunity in the European market and anticipates further growth.

The arrival of these funds suggests several trends in the market. Late-stage capital to support companies preparing for IPOs is making a comeback, as investors predict a flat fourth quarter this year followed by a rebound in early 2024. Early-stage VC funds like Dawn are also actively raising and deploying funds, taking advantage of better deals due to lowered valuations. With the rise of generative AI technologies, early stage capital is in high demand. These trends were observed at recent events in London, where VCs discussed the market outlook and emphasized the importance of preparing companies for M&A and IPOs. Overall, despite the current market conditions, larger funds are entering the scene to capitalize on future opportunities.

Source link


- Never miss a story with notifications

- Gain full access to our premium content

- Browse free from up to 5 devices at once

Latest stories


Please enter your comment!
Please enter your name here