Europe launches Scaleup Europe fund with €5 billion target to support tech leaders

The European Commission has completed the legal procedures for the creation of Scaleup Europe – a new investment tool designed to support the transformation of European innovative enterprises into global leaders. The fund's initial goal is to mobilize €5 billion through a combination of public and private capital.

Objectives and Strategic Importance

The initiative, announced by Ursula von der Leyen during the 2025 State of the Union address, aims to overcome the shortage of large-scale financing for technology companies on the continent. Despite a strong scientific base, many European startups have so far been forced to seek capital outside the European Union.

"When Europe invests in its innovators, it invests in its future. The Scaleup Europe fund will ensure that our growing enterprises can find the necessary financing right here – in Europe – to become leading global companies," said European Commission President Ursula von der Leyen.

Governance and Investors

The international company EQT has been selected as the investment manager through an open competitive procedure. The company will make investment decisions independently and under market conditions. The first investments are expected within the coming weeks.

The fund's founding group includes leading financial institutions and investment funds, including Novo Holdings, EIFO, CriteriaCaixa, Santander/Mouro Capital, Allianz, and APG Asset Management, alongside the European Commission. EU investments will be provided through the "Horizon Europe" research and innovation program.

Funding Guidelines

The fund will direct resources toward European companies with high potential in strategic areas, aiming to retain intellectual potential and technological developments within the EU and to turn scientific achievements into successful international business models. The raising of additional capital will continue until the target resource of approximately €5 billion is reached.