According to the Indicateur Chausson Finance, one of France’s major capital search operators for startups with a high growth potential, French venture capital financed 152 French startups for a tota...
According to the Indicateur Chausson Finance, one of France’s major
capital search operators for startups with a high growth potential, French
venture capital financed 152 French startups for a total of FF 1.4 billion
in the second half of 1999, compared with 129 startups for FF 0.87 billion
in the first half-year.
In one year, French venture capital has invested a total of FF 2.27
billion i.e. an increase of 236%. 281 companies have benefited, i.e. an
increase of 153 % compared with the previous year.
The league table of the ten most active capital risk companies remained
unchanged in the second half of 1999. Companies listed included notably:
3i France, ABN Amro Venture, Apax Partners, CDC Innovation, Dassault
Développement, Galiléo, etc.
The tope ten capital risk companies together represent 68% of investments
funded and 65% of the operations carried out in that half-year. During
this period, each of these companies invested an average of FF 96 million
and carried out 13 operations. In the whole year, each of these French
venture capital companies invested an average of F 160 million and
completed 25 operations.
For the fist time, the indicateur Chausson Finance included the
investments made by French venture capital providers in European
companies. During the second half-year, 11 companies out of 28 invested in
European startups, i.e. 30 operations for a total investment of FF 627
million. During this period, FF 626 million was invested in 60 Internet
companies, i.e. 2.9 times more than during the first half-year (32
Over the whole year, FF 831 million was invested in the Internet sector,
i.e. 11 times more than in 1998 representing 37% of total investments.
The telecommunications sector also saw a large increase, with 12 % of
total investments in the second half-year, as opposed to 6 % in the first
The software sector, on the other hand. Dropped from 38 % to 22 % of total
investments between the first and second halves of 1999. The other sectors
also saw a clear drop over the same period.
The biggest fund-raising deal of the year was by Imediation (FF 165
million). The total funds raised by the ten biggest deals of the year
increased from FF 554 million in 1998 to FF 1.5 billion in 1999. The
average funding received by the 281 companies financed also climbed FF 8
million, i.e. an increase of 31 % from 1998.
(Christine Weissrock - Atelier Paribas 15/03/2000)