Index Ventures secures “record” $1.25bn to invest in European start-ups

UK venture capital firm will back $550m in seed-stage and Series A rounds with $700m for later-stage rounds...

London-based venture capital (VC) firm Index Ventures has raised what is thought to be a record $1.25bn (£870m) to invest in European technology start-ups.

Founded in 1996 by Neil Rimer, Giuseppe Zocco and David Rimer, Index Ventures looks to make seed, early stage, later stage and private equity investments of between €10m and €50m in information technology and life sciences companies.

In total, 50 of the VC firm’s 160 portfolio companies are headquartered in the UK, including Deliveroo, Funding Circle and Secret Escapes. Combined, they employ more than 35,000 people and generated revenues upwards of $9.2bn in 2015.

The $1.25bn raised will be split into $550m for seed and first-round funding, which accounts for seven in ten of all the investor’s deals, and $700m of later stage funding.

This eighth early stage fund and third later stage fund are said to be the largest in Index’s history. Investor Ben Holmes expects 50% of the new fund to be used to fuel the growth of European companies.


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