Venture Capital Statistics 2014
– Investments in Swedish Portfolio Companies
In 2008, venture capital investments (VCI) in Swedish companies reached a record high of SEK 4.8 billion. Since then, and until 2012, VCI were in sharp decline. In 2013, increased investments broke the negative trend
with SEK 2 billion in VCI. The year after, in 2014, the investments continued to increase, reaching SEK 2.6 billion.
The increase in VCI 2014 came from private funds
The increase in VCI 2014 came from private funds. Their total investments increased by 57 percent compared to the previous year, while the public funds decreased investments by 16 percent.
In particular it came from foreign private funds…
All the funds that are classified as public funds are Swedish funds. The private funds can, however, be divided into two subgroups - Swedish and foreign funds. ¹ The increase in investments from private funds was entirely due to a very large increase in investments from foreign private funds (in fact the investments by Swedish private funds were lower than the previous year). The foreign private funds invested 1.2 billion in 2014.
There is a declining number of active Swedish private funds
During the period 2007–2014, there have never been so few active Swedish private funds as in 2014. In 2010, there were 51 different Swedish private funds investing in Swedish portfolio companies, in 2014 there were only 20.
Life Science and IT dominates
Common for the public funds and the private funds are that the majority of the capital invested went to portfolio companies in the Life science and IT sectors in 2014. The public funds placed 61 percent of its total VC investments in portfolio companies within these two industries. The corresponding number for the private funds was 93 percent.
Long trend of reduced investments to companies in the start-up phase
The annual total VC investments divided into development phase, shows a shift towards investments in later stages (Other early stage and Later stage venture). This shift has occurred at the expense of, mainly, investments to companies in the Start-up phase, which has decreased in recent years.
¹The funds have been classified as Swedish or foreign depending on where their main advisory company is physically located.