Global startup funding has reached $66.5 billion in Q3 2024, with approximately $10 billion going to Europe. With $3.2 billion invested in startup, the UK takes the lead, followed by Germany with $2.4 billion, which pushed aside France with $1.4 billion in investments, usually taking the second place.
Nevertheless, venture funding in Central and Eastern Europe saw a sharp decline in Q3 2024, with total funding volume seeing a significant drop and the number of rounds plunging 54% to just 118. The total funding value in CEE plummeted from €560 million to €360 million, marking a 35% decline, as stated in Vestbee’s CEE 3Q24 report. AIN examined the report and presents our key findings.
Image: VC funding in CEE 3Q24 by Vestbee
Global VC investment trends in CEE
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Global venture funding in Q3 2024 totaled $66.5 billion, according to the Crunchbase data, representing a 16% decline quarter over quarter and a 15% decrease compared to the $78 billion invested in Q3 2023.
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Late-stage funding in Q3 2024 reached $34.7 billion, remaining flat quarter over quarter but down sharply from $46 billion in Q3 2023.
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Early-stage funding totaled $24.7 billion, down sequentially.
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Year-to-date, global venture funding is down approximately 7% compared to the same period in 2023.
Startup investment rounds in CEE in Q3 2024
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Number of funding rounds: 118 (98 fully disclosed in terms of amount, month, investors, and company details).
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Countries with the highest number of funding rounds: Poland — 45 rounds, Estonia — 16, Lithuania — 14 rounds.
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The biggest disclosed investment rounds:
Rentberry, a €83M Series A round.
Previously, in October, AIN and Molfar investigated the Rentberry deal, which turned out to be, according to the evidence found, most likely fictitious.
Ovoko, a €20M Series B round.
RedStone, a €13.6M Series A round.
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Total value of funding closed in CEE: over €360M (20 rounds undisclosed in terms of transaction value).
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The most active VC funds: Early Game Ventures, SmartCap, Soulmates Ventures, FIRSTPICK, Venture to Future Fund, Warsaw Equity Group.
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The most popular industries: Financial Services, AI, SaaS, Energy, Web3, Information Technology, Biotech.
New VC funds from CEE in 3Q 2024
Budapest-based VC Lead Ventures has launched a €100 million fund to support CEE startups in late seed and Series A rounds.
Sofia-based VC BrightCap has completed the first close of its new fund, BrightCap II, targeting €60 million. It will invest in startups focusing on the future of work, digital health, and fintech across SEE.
Polish fund investor PFR Ventures has invested €47 million (PLN 200 million) in four early-stage VC firms: 24Ventures, Digital Ocean Ventures Starter, Hard2beat, and Tar Heel Capital Pathfinder.
Check out the highlights of the VC funding in the CEE Q2 2024 report, also conducted by Vestbee.