- Since its launch in 2023, the European Tech Champions Initiative has closed fund deals worth €2 billion and mobilising five times this amount, totalling €10 billion in public and private sector resources.
- Investments have been made in 16 technology scale-ups, two of which are Spanish.
- In Spain, the European Tech Champions Initiative has invested in a mega fund specialising in deep tech and climate, and an investment in a second mega fund is expected by 2025.
- As an ETCI participant country, Spain has announced an additional contribution of €300 million to the initiative by the Ministry of Digital Transformation that is soon to be approved by the Spanish cabinet.
The EIB Group outlined the progress of the European Tech Champions Initiative (ETCI) – the fund of funds promoted by the European Union and participating EU Member States to foster the growth of cutting-edge technology startups with high growth potential (scale-ups) – today in Madrid. This initiative is led by the European Investment Fund (EIF), the EIB Group's specialist provider of investment capital to benefit small and medium-sized enterprises (SMEs) and mid-caps.
The presentation took place during the Tech Champions Made in Europe day, which brought together representatives of the Spanish investment and technological innovation ecosystem and was attended by EIB Group President Nadia Calviño, Spanish Minister of Economy, Trade and Business Carlos Cuerpo, EIF Chief Executive Marjut Falkstedt and Instituto de Crédito Oficial (ICO) Chairman Manuel Illueca Muñoz.
Opening the day, President Calviño had the opportunity to detail the ongoing work to bolster the European capital market, including the expansion of the ETCI and opening it up to private investors. New financial instruments are also being developed to facilitate investor exits via acquisition or listing of the technology startups on European markets.
“Thanks to EIB Group support, Spain now has a top-tier European investment mega fund. We are already working on the second phase of this initiative, in which Spain is expected to retain its key role,” said EIB Group President Nadia Calviño.
The event was closed by Spanish Minister of Economy, Trade and Business Carlos Cuerpo, who said: “Spain has already provided €400 million to the ETCI, and today we are announcing an additional contribution of €300 million from the Ministry of Digital Transformation that is soon to be approved by the Spanish cabinet.”
Since its launch in 2023, the ETCI has been fostering a positive environment in the European venture capital fund market and in the technology ecosystem. It has already closed fund deals worth €2 billion and mobilising five times this amount, totalling €10 billion in public and private sector resources for investment in growth-stage technology companies. ETCI-backed funds have so far invested in 16 European companies, two of which are Spanish.
In Spain, the ETCI has already made an initial investment in the Kembara Fund I FCR mega fund, a deep tech and climate-focused venture capital fund operating across Europe and managed by Alma Mundi Ventures SGEIC (Mundi Ventures). An investment in a second mega fund is expected by 2025. ETCI-backed funds have in turn invested in two Spanish high-tech companies in their advanced growth phase: Inke, which specialises in respiratory disease treatments, and Factorial, which develops and sells human resources software.
EIF Chief Executive Marjut Falkstedt said: “We are very happy with the ETCI’s progress to date, and are working on expanding it to increase its impact on the European venture capital and technological innovation ecosystems even further. We are exploring initiatives including structures where the private sector can play a greater role in this fund of funds, which is vital for ensuring European technological autonomy.”
During his speech, ICO Chairman Manuel Illueca Muñoz said: “The ETCI is helping to strengthen the EU innovation ecosystem. ICO Group aims to support Spanish startups and scale-ups throughout their lifecycle, until they reach sufficient maturity for the ETCI to turn them into European champions.”
Background information
The European Investment Bank Group (EIB Group), consisting of the European Investment Bank (EIB) and the European Investment Fund (EIF), reported total financing signatures in Spain of €11.4 billion in 2023, approximately €6.8 billion of which went to climate action and environmental sustainability projects. Overall, the EIB Group signed €88 billion in new financing in 2023.
The European Tech Champions Initiative (ETCI) is an EU programme managed by the EIF and backed by the European Commission and participating EU Member States. It helps to cover the financing needs of European technology scale-ups, preventing them from relocating and strengthening Europe's strategic autonomy and competitiveness. Sectors benefiting from the initiative include cybersecurity, artificial intelligence, quantum computing, deep tech, green technologies, biotechnology and digital technologies. The ETCI is also making a major contribution to the European financial markets and is an example of how the EIB Group can act as a pioneering instrument for the capital markets union.
