Fewer Deals, Larger Rounds: European Tech Companies Raise 30 Billion Euros in H1 2026
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European tech companies raised a total of approximately €30 billion in the first half of 2026. That represents an increase of 46% compared to approximately €21 billion in H1 2025 and 26% more than the €24 billion in H2 2025. At the same time, the number of funding rounds dropped to 1,555, a decline of 18% compared to 1,904 rounds in H1 2025.
Seven Mega-Funding Rounds in the Tech Scene
This means: the average round grew significantly larger. Tracxn Technologies Limited published these figures in the Europe Tech H1 2026 Report. The report covers all equity financings, exits, and unicorn activities in the region between January and June 2026. More capital is flowing into fewer deals, primarily into AI and infrastructure companies, while London alone accounts for 38% of all financings.
H1 2026 saw seven mega-funding rounds, compared to just two in H2 2025 and a single one in H1 2025. Isomorphic Labs secured €1.8 billion in a Series B. Nscale raised €1.7 billion in a Series C, and Stegra secured €1.3 billion in a Series A. Capital is concentrating on a few names, not broad diversification. Seed financings jumped 77% to €3.9 billion, making it the fastest-growing stage.
Early Stage grew 19% to €13.5 billion, Late Stage 73% to €13.1 billion. Among the most active investors, Y Combinator, HTGF, and Antler led in the Seed segment, Invest-NL, AlbionVC, and Mercia Ventures in Early Stage, and Sofina, Sapphire Ventures, and Planet First Partners in Late Stage.
Exit Market and IPOs Shrink Sharply
Enterprise software was the most heavily funded sector at €15.3 billion (up 69% compared to H1 2025), followed by Life Sciences at €4.6 billion (up 10%).
The exit market shrank significantly: European tech companies recorded 559 acquisitions in H1 2026. That represents a decline of 25% compared to 747 in H1 2025 and 18% less than the 680 in H2 2025. However, the deals that were completed were larger: atNorth’s sale for €3.4 billion to CPP Investments and Equinix was the largest acquisition of the half-year. This was followed by Tubulis Technologies’ €2.6 billion sale to Gilead and Cognite’s €2.6 billion deal with Schneider Electric.
IPOs were even rarer: Only eight IPOs took place in H1 2026, a decline of 43% compared to 14 in H1 2025 and 56% less than the 18 in H2 2025. AgomAb Therapeutics, Hemab, and General Oceans were among the companies that went public in H1 2026.
Concentration on Top Cities
London accounted for 38% of all European tech financings. These amounted to approximately €11.6 billion, a significant jump of 26% compared to H2 2025. The British capital thus cements its position as the region’s clear funding hub.
Paris followed with 8%, down from 13% in the previous half-year, while Stockholm remained stable at 8%. Berlin rounds out the top four cities with 5%. Together, the four leading cities accounted for well over half of all European tech financings.
