Presented at the EU-Startups Summit Barcelona, 3 May 2019

The state of Venture Capital in Europe & Spain

1. State of European venture capital

2. Spanish startup ecosystem

3. Barcelona startup ecosystem

4. Dealroom launching in Spain!

2

State of European venture capital

€ 3.4B € 4.5B € 5.2B € 6.8B € 7.2B € 6.5B

€ 8.9B

€ 12.9B

€ 18.5B € 19.9B

€ 25.8B € 27.8B

–

€ 5B

€ 10B

€ 15B

€ 20B

€ 25B

€ 30B

2013 2014 2015 2016 2017 2018

$ 0-10M $ 10-25M $ 25-50M $ 50-100M $ 100M+

Investment in € billions

Rounds €0-10M: not growing in last three years and growing by 11% CAGR since 2013

Rounds over €10M:growing by 25% CAGR since 2013

4Source: Dealroom.co. Excludes buyouts, secondary transactions, debt, ICOs, lending capital, grants.

In 2018, a record €28 billion invested in Europe & Israel,driven by rounds larger than €10 million

Investment funds Corporate venturing Angels, crowdfunding, other

€ 17.7B

€ 7.5B

€ 1.6B

–

€ 4B

€ 8B

€ 12B

€ 16B

€ 20B

2013 2014 2015 2016 2017 2018 2013 2014 2015 2016 2017 2018 2013 2014 2015 2016 2017 2018

5Source: Dealroom.co

Growth driven by both investment funds and corporates

Europe USA Asia Rest of World

€ 14.4B

€ 6.6B

€ 2.2B€ 2.9B

–

€ 2B

€ 4B

€ 6B

€ 8B

€ 10B

€ 12B

€ 14B

€ 16B

2013 2014 2015 2016 2017 2018 2013 2014 2015 2016 2017 2018 2013 2014 2015 2016 2017 2018 2013 2014 2015 2016 2017 2018

6Source: Dealroom.co

Venture capital investment into Europe has been increasing from all sides

11% YoY growth

87%

17%

10%

(35%)

(10%)

(11%)

(17%)

10%

43%

2018 number of rounds2018 VC investment by country

1,034

615

552

298

294

265

230

208

154

128

126

97

93

77

65

43

43

34

32

United Kingdom

France

Germany

Spain

Sweden

Israel

Netherlands

Italy

Switzerland

Finland

Ireland

Russia

Norway

Denmark

Belgium

Austria

Poland

Estonia

Hungary

€ 7.7B

€ 4.4B

€ 3.7B

€ 3.3B

€ 1.4B

€ 1.2B

€ 1.2B

€ 0.6B

€ 0.6B

€ 0.5B

€ 0.5B

€ 0.5B

€ 0.5B

€ 0.4B

€ 0.3B

€ 0.2B

€ 0.2B

€ 0.1B

€ 0.1B

United Kingdom

Germany

France

Israel

Spain

Switzerland

Sweden

Ireland

Netherlands

Italy

Finland

Denmark

Belgium

Portugal

Russia

Norway

Estonia

Cyprus

Austria

7Source: Dealroom.co. Excludes buyouts, secondary transactions, debt, ICOs, lending capital, grants.

The UK, Germany, France and Israel continue to account for 68% of total investment

The Spanish tech ecosystem

Rounds €0-10M: not growing in last three years and growing by 17% CAGR since 2013

Rounds over €10M:growing by 42% CAGR since 2013

Investment in € billions

€ 0.2B € 0.2B € 0.2B € 0.3B € 0.3B € 0.3B

€ 0.3B € 0.4B

€ 0.7B

€ 1.0B € 1.0B

€ 1.4B

–

€ 1B

€ 1B

€ 2B

2013 2014 2015 2016 2017 2018

$ 0-10M $ 10-25M $ 25-50M $ 50-100M $ 100M+

9Source: Dealroom.co. Excludes buyouts, secondary transactions, debt, ICOs, lending capital, grants.

In 2018, a record €1.4 billion invested in Spain, growing faster than European average

Foreign capital flows into European countries

10Source: Dealroom.co

% of foreign investment

12%

14%

17%

15%

21%

20%

24%

20%

38%

38%

2%

1%

4%

8%

5%

8%

9%

5%

14%

10%

5%

13%

2%

26%

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

France

Denmark

Sweden

Finland

Netherlands

Germany

United Kingdom

Spain

Switzerland

Israel

USA and Canada Asia Africa (Naspers)

Seed

Series A

United Kingdom Germany France Spain Sweden Netherlands

–

€ 0.2M

€ 0.4M

€ 0.6M

€ 0.8M

€ 1.0M

€ 1.2M

€ 1.4M

2014 2015 2016 2017 2018 2014 2015 2016 2017 2018 2014 2015 2016 2017 2018 2014 2015 2016 2017 2018 2014 2015 2016 2017 2018 2014 2015 2016 2017 2018

Average Median

–

€ 1.0M

€ 2.0M

€ 3.0M

€ 4.0M

€ 5.0M

€ 6.0M

€ 7.0M

€ 8.0M

2014 2015 2016 2017 2018 2014 2015 2016 2017 2018 2014 2015 2016 2017 2018 2014 2015 2016 2017 2018 2014 2015 2016 2017 2018 2014 2015 2016 2017 2018

Average Median

11Source: Dealroom.co

Spanish seed & series A round sizes are below European average

Spain leads Europe in % of startups founded by female

12

10%

11%

12%

13%

13%

14%

16%

France

Netherlands

Germany

Europe

United Kingdom

Sweden

Spain

Source: Dealroom.co

Barcelona Startup Ecosystem

14Source: Dealroom.co. Excludes buyouts, secondary transactions, debt, ICOs, lending capital, grants.

VC investment (2014-2018)# of VC backed startups

Barcelona is the 5th largest European tech hub (by investment)

€ 17.2B

€ 7.1B

€ 8.3B

€ 4.0B

€ 2.4B

€ 1.8B

€ 1.3B

€ 1.2B

London

Paris

Berlin

Stockholm

Barcelona

Amsterdam

Munich

Madrid

3480

2100

1170

870

550

530

470

340

London

Paris

Berlin

Stockholm

Barcelona

Amsterdam

Madrid

Munich

1,100+ startups 150+ scaleups 30+ grownups & exits

Team size 2-50 Team size >51IPO-ed or exited

profitable companies

14,000+ employees 23,000+ employees 4,000+ employees

… … …

15Source: Dealroom.co

How big is Barcelona startup ecosystem?

16

$1B+

$250-1B

$0-250M

Proptech Fintech Health Enterprise SaaS Mobility Food Travel Marketplaces

Source: Dealroom.co

Barcelona’s rising stars are disrupting every vertical

17

INVESTOR FOCUS SELECTED INVESTMENTS

Ysios Capital Early stage

Inveready Seed, Early Stage

Antai Venture Builder Seed, Early Stage

Kibo Ventures Early Stage

Bonsai Venture Capital Seed, Early Stage

Encomenda Smart Capital Seed, Early Stage

Sabadell Venture Capital Early Stage

Caixa Capital Risc Seed to Series B

4Founders Capital Seed, Early Stage

Nero Ventures Early Stage

Nauta Capital Early Stage

Big Sur Ventures Seed

Wayra Seed

Cabiedes & Partners Seed

Barcelona’s selected venture investors

Source: Dealroom.co

Dealroom launching in Spain!

19

19

Rapidly expanding network of ecosystems

20

We are launching in Barcelona soon

blog.dealroom.co

Gligor Micajkov

Research Analyst

gligor@dealroom.co

Ivan Draganov

Research Analyst

ivan.draganov@dealroom.co

For questions or feedback about this report, or to see how Dealroom can help you, please feel free to contact us.

Lotf Belych

Research Analyst

loft@dealroom.co

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