Scaleup Europe Fund makes first investment, co-leading Iceye's €1BN round

The Scaleup Europe Fund, a €5bn investment initiative by Sweden's EQT and the EU, has announced its inaugural investment in Finnish satellite startup Iceye. EQT, managed by the Swedish firm, co-led the €1bn funding round alongside US private equity firm General Atlantic, which was unveiled in June. Iceye's Series F round valued the company at roughly €10bn.

This represents the EU's ongoing effort to foster EU-based tech leaders without necessitating relocation to the US. The fund targets tech startups across the EU in critical sectors like AI, quantum, space, and biotech. Victor Englesson, EQT's partner and co-head of the Scaleup Europe Fund, stated, "Our first investment embodies the purpose of the Scaleup Europe Fund: supporting ambitious European founders crafting globally competitive businesses in strategically vital technologies."

Iceye's co-founder and CEO, Rafał Modrzewski, commented, "Europe possesses the talent, technology, and ambition to erect globally competitive companies in essential industries. Our journey validates this. We are deeply appreciative of the European Commission's role in establishing the Scaleup Europe Fund." Ursula von der Leyen, President of the European Commission, remarked, "When Europe invests in its innovators, Europe invests in its future.

This is the objective of our Scaleup Europe Fund: ensuring our scale-ups can flourish in Europe to emerge as world-leading entities. To transform European innovation into our competitive advantage."