BRUSSELS, BELGIUM / RankWire.AI / – The European Union has officially established the Scaleup Europe Fund, aiming to raise €5 billion. The European Commission finalized its legal formation on August 4, 2026, placing the fund within the European Innovation Council Fund. EQT will oversee investments and select participating companies based on commercial criteria. The Commission anticipates initial transactions to commence within weeks, as fundraising efforts are ongoing.
The European Commission has committed €1 billion through Horizon Europe-supported financing, with additional capital from public and private founding investors expected at the initial closing. The €5 billion target remains a fundraising goal rather than a confirmed final sum. Details regarding the amount of capital in the first closing have not been disclosed. EQT has the ability to secure further commitments as the investor base expands.
This fund will deliver late-stage funding to European firms working on strategic technologies. EQT will evaluate opportunities through a transparent and merit-based process, managing the portfolio and making investment decisions independently. While investors will participate in governance, they will not select specific companies. The management mandate was awarded to EQT following a competitive selection process organized for the new vehicle.
Fund focuses on key technology fields
The Scaleup Europe Fund targets artificial intelligence, quantum tech, semiconductors, robotics, and autonomous systems. Its scope also includes energy, space, biotechnology, medical tech, and advanced materials. Agritech companies may qualify within the approved investment areas. The fund aims to support businesses requiring large growth funding rounds, primarily in digital tech, industrial systems, and life sciences.
Investments are generally expected to be around €100 million or more, including follow-on funding. The fund will back private companies from Series B onward. Applicants must be based in an eligible country or intend to establish operations there, including EU member states and certain Horizon Europe associated nations. Previous European Innovation Council support does not guarantee selection.
Participation from public and private sector
Key founding investors include Novo Holdings, EIFO, CriteriaCaixa, Santander, and Mouro Capital. Italian participants are represented by Intesa Sanpaolo, Fondazione Cariplo, and Fondazione Compagnia di San Paolo. Dutch pension fund ABP is represented by APG Asset Management. Wallenberg Investments and Allianz are also part of the group. EQT intends to invest its own capital alongside these partners.
This initiative supports the EU Startup and Scaleup Strategy. European Commission President Ursula von der Leyen unveiled the plan during her 2025 State of the Union address. The fund aims to provide more growth capital for Europe’s strategic technology firms, though no specific recipients or investment amounts have been announced. EQT will choose the initial companies in line with the fund’s commercial framework.