BRUSSELS, BELGIUM / RankWire.AI / – In Brussels, the European Union officially launched the Scaleup Europe Fund, aiming to raise €5 billion. The European Commission finalized the legal formalities on August 4. Operating within the European Innovation Council Fund, the new initiative concentrates on key technology firms. EQT has been appointed as the investment manager and will evaluate deals under commercial terms. The Commission anticipates making its initial investments within a few weeks. Fundraising efforts are ongoing as EQT seeks further commitments from both public and private sector investors.
The European Commission has pledged €1 billion to this project through Horizon Europe funding. Founding investors are expected to contribute capital at the initial closing, alongside the EU’s contribution. The €5 billion target reflects the fundraising goal rather than the amount already secured. Authorities have not disclosed the value of the first closing. EQT might raise more or less than the planned amount. The Commission will invest on the same financial terms as other fund participants.
This fund aims to back European tech enterprises seeking significant late-stage and growth financing rounds. It encompasses firms based in EU member states and eligible Horizon Europe partner nations. EQT will evaluate potential investments based on merit, managing the portfolio and making individual funding choices. Governance participation will involve the Commission and other investors, though they will not influence specific deal decisions. EQT obtained the management mandate following an open, competitive selection process.
Focus on Strategic Technologies and Investment Amounts
Eligible sectors include artificial intelligence, semiconductors, quantum technology, robotics, and autonomous systems. The scope also extends to energy, space, biotechnology, medical tech, agritech, and advanced materials. The fund plans to invest approximately €100 million or more in selected companies, which may include follow-on funding after an initial investment. Businesses qualify starting from Series B, provided they operate in an eligible country or plan to establish operations there. The investment focus spans digital, industrial, and life sciences technologies.
EQT will identify investment candidates and handle negotiations with companies seeking capital. The selection process will remain open and based on merit. Prior support from European Innovation Council programs does not guarantee access to the new fund, although companies already backed by the EIC might be considered for investment. The Scaleup Europe Fund targets larger funding rounds than those supported by current EIC tools. Presently, EIC STEP support allows up to €30 million per company. EQT will provide further details as investment activities commence.
Initial Investors and Participation in EU Initiative
The founding investor group features Novo Holdings, EIFO, CriteriaCaixa, Santander and Mouro Capital. Italian contributors include Intesa Sanpaolo, Fondazione Cariplo, and Fondazione Compagnia di San Paolo. Dutch pension fund ABP is represented by APG Asset Management. Wallenberg Investments and Allianz are also part of the consortium. EQT intends to contribute its own capital to the fund. The group comprises pension funds, banks, foundations, and investment firms, with additional participants expected during subsequent fundraising rounds.
Part of the EU Startup and Scaleup Strategy, the Scaleup Europe Fund was announced by European Commission President Ursula von der Leyen during her 2025 State of the Union address. The initiative aims to boost access to growth capital for strategic technology firms across Europe. The European Commission has noted that many fast-growing companies seek larger funding rounds outside the continent. Specific initial recipients or individual investment figures have not been disclosed. EQT will select companies in accordance with the fund’s approved commercial guidelines.