Disrupted Bankers and Digitized Doctors — 2017 Keeps the Fire Burning

Bjorn Bergstrom
Jul 5, 2017 · 2 min read

The Swedish tech sector saw continued growth in invested capital in the first half of 2017. While the number of deals kept steady, the amount of capital increased following a surge of larger Series A and B rounds. Noteworthy is that the share of funding rounds with participation from international investors hit an all time low, pointing to a strong appetite from domestic investors

After a strong finish of 2016, the first half of 2017 saw a continued rise as a total of $560M was invested into Swedish tech startups. The significant increase in invested capital was not distributed evenly across all stages, however. After a couple of strong years the number of seed investments leveled off and it was instead large Series A and B rounds which drove growth.

Key fundraising figures for the Swedish tech sector Q1-Q2 2017

So far in 2017 domestic investors have remained crucial to the ecosystem, as the most active investors across all stages were domestic. Top backers included Industrifonden, Northzone, Almi Invest and Wellstreet. Interesting to note is that the share of funding rounds with participation from international investors decreased to the lowest level since we started tracking in Q1 2015.

Share of funding rounds with participation from foreign investors by quarters

While FinTech once again remained the most popular vertical by number of deals, Digital Health saw the fastest increase compared to previous years. For the first time Digital Health made it into the top two, edging past e-commerce and Enterprise SaaS. Following Digital Health’s breakthrough year in 2016 the sector attracted a number of impressive rounds in Q1-Q2, including AMRA’s $9M round from Pfizer Ventures, Industrifonden and Novo Nordisk, Kry’s $22.8M round from Accel, Index Ventures, Creandum and others, and MinDoktor’s $24.7M round from EQT Ventures.

Check out the full report below or download here.

Bjorn Bergstrom

Written by

Investment Manager @ Industrifonden, a Nordic VC firm. Interested in the consumerization of the enterprise, digital consumer brands and marketplaces