FCF Advanced Manufacturing Venture Capital Report

FCF
Advanced Manufacturing
Venture Capital Report

The ‘FCF DeepTech Series’ is a quarterly series of reports tracking European venture capital funding trends within four main DeepTech verticals. We highlight deal counts, volumes, investor interests, subsector trends, geographic hotspots, IPO activity as well as M&A / trade sale activity. Each quarter one of the four verticals – CleanTech, Advanced Manufacturing, Industrial Internet of Things (IIoT) and Robotics – is examined individually.

Each report is a quick reference for investors, corporates and professionals for the funding trends within the respective vertical.

This edition of the ‘FCF DeepTech Series’ focuses on VC funding developments within the European Advanced Manufacturing vertical.

The European Advanced Manufacturing vertical has been split into four main subsectors:

Additive Manufacturing
Robotic Automation
Sensors and IoT Platforms
Industrial Process Software

Key Findings:

COVID-19’s impact on the Advanced Manufacturing Vertical: Number of deals suggest that COVID-19 has had a significant impact on the Advanced Manufacturing vertical. In 2020, the vertical has seen a significant drop in quarterly deal count (22 average quarterly deals in 2020 vs 33 in 2019 and 36 in 2018), suggesting that contact restrictions as well as investor’s fear of uncertainty have limited the amount of fundraises that took place so far this year
Germany leads the European Advanced Manufacturing Market: 23% or €227m of the funds raised by European Advanced Manufacturing ventures (between 01/2015 and 09/2020), were raised by German firms. As only 41% of the German transactions have a disclosed deal volume, the amount of funds raised and the lead to runner-up, France (€196m raised with 64% of transactions having a disclosed deal volume), are significantly understated. 8 of the Top 10 German Advanced Manufacturing deals by deal volume, took place in Bavaria, highlighting its position as Germany’s Advanced Manufacturing capital
Strong government backing: With more than half of the Top 15 most active investors (by deal count) having a governmental background (government backed investment entity, European Union backed investment entity), the public hand seems to see the high potential in the vertical and is heavily interested in supporting young companies in this segment

DEEPTECH RESEARCH SERIES

The “FCF DeepTech Series” is a quarterly series of reports tracking European venture capital funding trends within four main DeepTech verticals. We highlight deal counts, volumes, investor interests, subsector trends, geographic hotspots, IPO activity as well as M&A / trade sale activity.
Each quarter one of the four verticals – Cleantech, Advanced Manufacturing, Industrial Internet of Things (IIoT) and Robotics – is examined individually.

Each report is a quick reference for investors, corporates and professionals for the funding trends within the respective vertical.