TLDR: Eurazeo has successfully achieved a first close of €650 million for its Growth Fund IV (EGF IV), an AI-focused investment vehicle aiming to reach a total of €1 billion. The fund is dedicated to supporting fast-growing, AI-native European technology companies in their international scaling efforts.
Eurazeo, a prominent European investment firm, has announced the successful first close of its Growth Fund IV (EGF IV) at €650 million, marking a significant step towards its ambitious €1 billion target. This new fund is strategically focused on empowering fast-growing, AI-native European technology companies to scale their operations globally.
The fund plans to deploy investments ranging from €25 million to €100 million per company, primarily targeting scale-ups at Series C and beyond. The initial close has garnered substantial support from a diverse group of investors, including the European Investment Fund (EIF) through the European Tech Champions Initiative (ETCI), as well as sovereign wealth funds, family offices, and pension funds from across Europe. This broad backing underscores strong confidence in Eurazeo’s investment prowess and the burgeoning European tech ecosystem.
Eurazeo boasts a strong track record of backing successful European tech leaders, with previous investments including companies like Doctolib, Cognigy, Qonto, Dataiku, commercetools, and Neo4j. With the addition of EGF IV, Eurazeo’s growth equity strategy now manages over €4 billion in total assets.
Christophe Bavière and William Kadouch-Chassaing, Co-CEOs of Eurazeo, stated, “This first closing of the Eurazeo Growth Fund IV is a defining milestone in our Growth strategy.” They also highlighted a unique aspect of the fund, noting that “The investment team is female-led, which remains rare in the tech ecosystem.”
Hala Fadel, Managing Partner of the Growth team, further elaborated on the fund’s mission: “Our mission is to support founders who are scaling globally and reinventing the way business is done by leveraging artificial intelligence.” The firm recognizes Europe’s deep technical talent pool, bolstered by leading AI research centers and universities, as a crucial foundation for innovation and growth.
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EGF IV aims to capitalize on the opportunities presented by the post-generative AI era, where reduced capital barriers and faster scaling cycles are becoming increasingly prevalent for European startups. The fund’s operations are supported by a 17-person growth investment team spread across France, Germany, the UK, and Spain, complemented by five operating partners with extensive experience from major tech companies such as Klarna, PayPal, and Datadog. The fund has already begun deploying capital, with its early portfolio companies demonstrating impressive growth rates exceeding 50% annually.
