European tech investment is splitting into large deals and small deals with not much in between. The latest quarterly data underpins a trend that we have been tracking for some time: a small number of very large rounds and a large number of small rounds. The challenge for the growing number of European start ups is how to navigate from start up to global player with limited capital for the journey.
The last 3 quarters have seen more than $3B invested in Europe-based startups. Mega-rounds above $100M in size are one of the drivers of funding growth in the quarter. There were six $100M+ financings in Q3’15, including high-profile deals such as BlaBlaCar‘s $200M Series D led by Insight Venture Partners, and Global Fashion Group‘s $167M corporate minority investment by Rocket Internet.