Who’s dominating Europe’s €24bn startup debt market?

2026-02-13 · Source: Sifted · Field: Finance & Economics — Capital Markets & Investment Management, Venture Debt · Depth: Novice, short

Summary

In 2025, Europe's startup debt market saw over 400 deals, totaling €24.1 billion in disclosed volume, which constituted 31% of the continent's total startup funding. Leading investors included EQT Growth, which completed 17 deals worth €544 million, and BlackRock, which executed 16 deals. Other significant players were Kreos Capital, with 15 deals, and Silicon Valley Bank, completing 14 deals. The market also saw activity from investors like HSBC Innovation Banking, which closed 13 deals, and Eurazeo, with 12 deals. Notable individual deals included BlackRock's $200 million investment in Germany-based fintech company auxmoney and HSBC's €100 million facility for UK-based fintech company Thought Machine.

Key takeaway

For entrepreneurs seeking capital in Europe, understanding the active debt market is crucial. You should consider venture debt as a significant non-dilutive funding alternative, especially given its 31% share of total startup funding in 2025. Research the top debt providers and their typical deal sizes to align with your company's funding needs and growth stage.

Key insights

Europe's startup debt market is a significant funding source, with over 400 deals and €24.1 billion in 2025.

Principles

• Debt funding complements equity in startup ecosystems.
• Diverse investor types participate in venture debt.

In practice

• Identify top debt providers like EQT Growth or BlackRock.
• Explore debt options for non-dilutive capital.

Topics

• European Startup Funding
• Startup Debt Market
• Venture Debt
• Investor Activity
• European Tech Ecosystem

Best for: Investor, Entrepreneur, Business Analyst

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Editorial summary, takeaway, and curation by AIssential. Original article published by Sifted.