At a Glance
- 76 European deep-tech spinouts hit $1B valuation or $100M revenue, forming a $398B funnel.
- Two new funds – PSV Hafnium and U2V – each raised €60M ($71M) focused on Nordic and university spinouts.
- European spinouts are on track to raise $9.1B in 2025, the highest ever, despite overall VC funding falling 50% from 2021 peak.
- Why it matters: Europe’s deep-tech talent is attracting record VC, but growth-capital gaps and foreign late-stage funding still limit domestic upside.
Europe’s universities have long been the backbone of deep tech. Now, academic spinouts have coalesced into a massive $398B startup pipeline, and fresh capital is flowing in.
Spinout Landscape and Funding Surge
The Dealroom European Spinout Report 2025 notes 76 deep-tech and life-sciences companies have reached either $1B valuations, $100M revenue, or both. Unicorns include Iceye, IQM, Isar Aerospace, Synthesia, and Tekever.
New Funds Expand Pipeline
PSV Hafnium, a spinout of the Technical University of Denmark, closed its inaugural fund at an oversubscribed €60M ($71M) and targets Nordic deep tech. U2V (University2Ventures) has also targeted €60M for its first fund and completed its first closing.
| Fund | Total Raised | Focus | Offices |
|---|---|---|---|
| PSV Hafnium | €60M ($71M) | Nordic deep tech | Berlin, London, Aachen |
| U2V | €60M ($71M) | University spinouts | Not disclosed |
PSV Hafnium partners stated:
> “The Nordic’s research institutions hold extraordinary, untapped potential,”
Exit Momentum and Funding Levels
Oxford Ionics, acquired by IonQ, was one of six spinouts from Switzerland, the U.K., and Germany that delivered exits above $1B to investors in 2025. According to Dealroom, European university spinouts in deep tech and life sciences are on track to raise a near all-time-high $9.1B in 2025, while overall VC funding in Europe has dropped almost 50% from its 2021 peak.
Sector Appetite and Geographic Reach
Large rounds in 2025 reflected appetite for spinouts in nuclear energy-Proxima Fusion-and dual-use drones-Quantum Systems, now valued above $3B. Startups often leverage research from specialized labs, explaining the long tail of European locations that can produce spinouts.
- SisuSemi, a Finnish startup, received one of PSV Hafnium’s nine checks. The company uses a decade of University of Turku research to bring new surface-cleaning tech to the semiconductor industry.
- Growth-capital remains a pain point; nearly 50% of late-stage funding for European deep-tech and life-sciences spinouts comes from outside Europe, mainly the U.S.
Key Takeaways
- 76 European spinouts now form a $398B valuation funnel, backed by record VC.
- Two new €60M funds are expanding the university-spinout pipeline, especially in the Nordics.
- Despite a $9.1B 2025 raise target, growth-capital gaps and foreign late-stage funding constrain domestic upside.
The surge in deep-tech spinouts signals a vibrant European startup ecosystem, but the need for more domestic growth capital remains a critical hurdle.
