Western Europe: Top 5 Private Equity Investors in Analytics Industry

Intro

According to the Technavio report, the Western European market is expected to grow significantly. Companies in the Analytics industry perform risk analysis, data visualization, and deal with big data, to name but a few of their activities. Given the increasing storage capabilities and the speed with which large amounts of data are created in the modern world, the demand for such services is far from declining in the nearest future.

Since those technologies are beneficial for the firms (as an example, Forbes claims that 85% of companies who extensively utilize analytics witness more than 7% revenue growth), the field attracts many investors, especially in Western Europe. The money received from the top five investors ($361.7M) accounts for a significant 10% of all capital raised in this region’s Analytics industry over the last two years. Those investors are depicted in the following diagram:

Western Europe: Top 5 Private Equity Investors in Analytics Industry
data provided by Unicorn Nest

Key takeaways

• Funds Geography – Out of the five most active investors in the Analytics industry, three are located in the United Kingdom. There are also funds from France and Luxembourg. Most of the money is attracted to UK-based startups, then to those from France and the US. Following the general tendency, investors from the list tend to put money into the startups from the fund’s country of establishment.
• Investments – For the majority of funds, the average number of rounds per year is around 2. However, some companies from the list, like Maven Capital Partners, participate from 7 to 12 times. On the opposite, the average number of rounds per year for CVC Capital Partners is less than one.
• Typical Rounds – Apart from the number of partakers, which most often varies from 1 to 2, there are no clear tendencies regarding the funding rounds. There are also rounds with 3-4 investors. The highest average rounds size is $78M, while the lowest is $1M. Two of the listed funds (Iris Capital and LDC) have average sizes of 13-14 million US dollars. The average multiplicators for firms listed (according to the last known valuation) also differ.

To sum up, the significant share of private equity funding for the Analytics industry in Western Europe comes from the UK, France, and Luxembourg and goes to projects created in the UK, US, and France. Most often, funding rounds held by the listed VCs have 1-2 investors participating. The size of one round may vary from 1 to 78 million US dollars.