On 14th November 2023, the European Innovation Council (EIC) announced its venture investment arm, the European Innovation Council Fund, which has approved nearly €1 billion in investments for deep tech companies since it commenced operations in September 2022.
The EIC Fund operates under Horizon Europe to encourage breakthrough technologies and innovations. The EIC Fund has become the investor of choice for European deep tech companies. Over a year, 159 startups and small to medium-sized enterprises (SMEs) were selected through the EIC Accelerator programme and have successfully secured investments.
Within the framework of the European Innovation Council program, companies go through a meticulous assessment conducted by external experts, complemented by comprehensive due diligence carried out by the European Investment Bank, which acts as the investment adviser for the EIC Fund.
Following the approval of investments, companies usually have a window of up to 12 months to secure co-investors. Notably, 71 companies have effectively navigated this process, drawing co-investments that amount to three times the initial investments from the EIC Fund.
Moreover, The EIC Accelerator offers grants of up to €2.5 million combined with equity investments through the EIC Fund ranging from €0.5 to €15 million or more. It supports startups and SMEs across various sectors. In addition to financial support, participants benefit from business acceleration services, providing access to expertise, corporates, investors, and ecosystem actors.
Some notable companies that have thrived with EIC investments include Quandela, a French quantum photonics leader; Microsure, an innovation leader in robot-assisted micro-surgery based in the Netherlands; and Methinks, a Spanish company specializing in AI-based early detection and management of acute stroke patients.
Quandela recently secured €50 million from various investors to support international expansion and further industrial development. Microsure obtained €38 million to finalize the development of their newest microsurgical robot for clinical studies, while Methinks announced securing €2.5 million in convertible loans to prepare for an upcoming investment round.
Furthermore, the EIC recently revealed the results of the latest EIC Accelerator call on 30th October, with 47 additional companies selected for EIC support, amounting to €349 million, of which €236 million is earmarked for investments through the EIC Fund. Since its launch in 2021 under the Horizon Europe programme, a total of 493 companies have been selected by the EIC Accelerator, showcasing the program's impact and competitiveness.
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Iliana Ivanova, Commissioner for Innovation, Research, Culture, Education, and Youth, expressed her satisfaction with the EIC's achievements, stating, "The European Innovation Council stands as the cornerstone of Europe's innovation landscape. It's a launchpad for revolutionary technologies and transformative innovations. We are empowering Europe's brightest startups to grow, secure investments, and emerge as global frontrunners in technologies pivotal for Europe's journey towards a greener, digitally advanced future."
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