The average size of early stage deals in the Netherlands is on the rise

Investment in deals under $50m has already reached record levels despite a fall in deal activity

  • Overall investment in the Netherland is set to remain below last year’s levels. However, the first three quarters of 2017 saw $57.4m worth of funding in deals under $50m, putting investment in small deals at a four-year high.
  • The largest deal completed so far this year went to Frontclear, a banking infrastructure company, which received $30m from FMO in February.
  • Both total investments and the number of deals look set to fall in 2017. Despite that, the average deal size is increasing. In 2016 the average deal size was $5.5m compared to $6.2m in the first nine months of 2017.

FinTech Investments increased seven-fold in Q3 compared to the same quarter last year

  • Q3 2017 saw investments in Dutch FinTech companies pick up, with four times the investment committed in the previous quarter. This increase was mostly due to one deal. Ohpen, a cloud-based core-banking engine, received $17.02m from Amerborgh in July.
  • The number of deals doubled between Q2 and Q3 2017. This was partly due to the Startupbootcamp FinTech & CyberSecurity Amsterdam programme which announced two Dutch companies as part of their new cohort of startups.

Over 60% of Dutch FinTech deals went to companies specialising in WealthTech, Payments & Remittances and Infrastructure & Enterprise Software

  • The top three sectors for deal activity; WealthTech, Payments & Remittances, and Infrastructure & Enterprise Software, received 62.8% of deals since 2014.
  • The WealthTech sector received the highest share of deals with almost 30%. The largest deal to the sector was a $18.7m deal to challenger bank, bunq closed in September 2015.
  • A further quarter of deals went to companies specialising in the Funding Platforms, Marketplace Lending and Data & Analytics sectors.

The Top 10 investors participated in nearly 30% of all FinTech deals in the Netherlands since 2014

  • Startupbootcamp was the most active investor in The Netherlands between 2014 and Q3 2017 closing 8.7% of all deals to companies based in the country. This doesn’t come as a surprise considering the accelerator has a dedicated office in the country.
  • Eight of the top ten investors are based in the Netherlands with the remaining two; Startupbootcamp and Initial Capital headquartered in London.
  • Accelerators lead the way for investors in the Netherlands with the top two most active investors falling into this category. They were followed by two Dutch funding platforms; Symbid and Leapfunder and six venture capital firms.

The data for this research was taken from the FinTech Global database. More in-depth data and analytics on investments and companies across all FinTech sectors and regions around the world are available to subscribers of FinTech Global. ©2017 FinTech Global

Latest Post