Europe’s active secondary investors
Summary
Startup secondary deals, where existing investors or employees sell company shares, have increased in Europe. Bpifrance, a French public investment bank, is identified as a leading active secondary investor, having participated in a $13M secondary transaction for Luko and a €81.2M deal for Ornikar. Other notable investors include Eurazeo, which recently led an $867M secondary round in Glovo, and Partech, which has been active in secondary transactions since 2013. The article highlights the top 10 most active secondary investors in Europe, including companies like Cathay Innovation, Seedcamp, and Balderton Capital, indicating a growing trend in this type of funding across the European startup ecosystem.
Key takeaway
For investors seeking liquidity or considering share sales in European scaleups, understanding the active secondary market participants is crucial. You should analyze the investment patterns of firms like Bpifrance and Eurazeo, as their participation signals a robust and accessible secondary market. This knowledge can inform your exit strategies and help identify potential buyers for your holdings, optimizing returns and managing portfolio risk.
Key insights
European startup secondary deals are increasing, with specific investors leading the activity.
Principles
- Secondary deals provide liquidity for early investors and employees.
- Public investment banks can be significant secondary market participants.
In practice
- Identify active secondary investors for potential liquidity events.
- Monitor European startup ecosystem for secondary market trends.
Topics
- Secondary Investments
- European Startup Ecosystem
- Scaleup Funding
- Venture Capital
- Bpifrance
Best for: Investor, Entrepreneur, Business Analyst
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Editorial summary, takeaway, and curation by AIssential. Original article published by Sifted.