Swedish tech sector continues to boom in 2017

 

The Nordic Web has completed its review of funding analyses for each Nordic country in 1Q17. Despite the overall Nordic scene being subdued, Mundus Newsin its last country appraisal, that of Sweden, Nordic Web data shows that the local ecosystem is continuing to grow and thrive. In terms of headlines the number of investments made in Swedish start-ups dropped somewhat quarter-on-quarter, from 122 in 4Q16 to 104 in the first quarter.  Nonetheless, this was still 20% above the number of investments made in 1Q16. In dollar terms the quarterly capital raising actually leaped from $223 million in 4Q16 to $314 million in 1Q17, which is nearly 3 times higher than 1Q16. The Nordic Web describes this as 'demonstrating maturity and progress of the ecosystem’. Further evidence of this maturity was witnessed by the larger number of follow-up funding rounds, with start-ups raising further financing of $3-5 million in their second rounds. In terms of verticals (sectors) fintech and software-as-a-service were the largest, with 12 investments each, followed by retail, health and entertainment. Stockholm continued to dominate, but with a continuation of the trend towards greater growth of regional cities (Malmö, Göteborg and Nyköping). In terms of individuals investments, iZettle, an e-payments firm, was the largest deal, at $64m.

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Jenny is a journalist at Mundus News and a contributor to the Monthly Policy Review. As well as writing for Mundus, Jenny currently works with press and culture at the Embassy of India. She has a keen interest in international relations and politics. Jenny has a degree in business administration and marketing from Nackademin and has previously worked in asset management for emerging markets.