“Atomico Boosts European Tech with $1.24B Fund”

Atomico, a prominent early investor in European tech startups, has recently announced the launch of two new funds totaling $1.24 billion. These funds are aimed at supporting emerging and growth-stage startups in the tech sector, providing a much-needed boost to an industry that has been grappling with declining valuations and layoffs.

The latest funds from Atomico consist of a $754 million growth-stage fund for startups seeking Series B to pre-IPO financing, as well as a $485 million early stage fund. This significant investment comes at a time when European tech startups have seen a significant drop in venture funding, with investments nearly halving from $82 billion to $45 billion in 2023.

Despite this challenging environment, Europe’s tech sector still holds immense potential, with the combined value of private and publicly listed tech companies in the region surpassing $3 trillion in 2023. Atomico’s new funds represent a 50% increase from its previous round of funding in 2020, highlighting the firm’s commitment to supporting the growth of tech startups in Europe.

Niklas Zennström, CEO of Atomico and co-founder of Skype, emphasized the importance of backing ambitious founders who have the potential to achieve global scale. With Europe leading the world in early-stage startups, the new funds aim to provide these companies with the resources they need to grow and succeed on a global stage.

The announcement of Atomico’s new funds comes at a time when two of its key portfolio companies, Stripe and Klarna, are in the spotlight for potential stock market listings. Both companies have been valued at billions of dollars, with investors eagerly anticipating their IPOs in the near future.

Overall, the launch of Atomico’s new funds signals a vote of confidence in the European tech industry and its potential for growth and innovation. As the tech landscape continues to evolve, these funds will play a crucial role in supporting the next generation of tech pioneers and driving the industry forward.