European private equity and venture capital investments and exits rise double-digits in 2024 as activity recovers

• Investment rebounds to €126bn, up 24%, representing third best year on record

• Divestments increase 45% to €46bn, also third highest total, sales to other PE firms rise

Brussels, Belgium - 8 May 2025 - Invest Europe, the association representing Europe’s private equity, venture capital and infrastructure sectors, as well as their investors, today published Investing in Europe: Private Equity Activity 2024, the most authoritative and comprehensive report on fundraising, investment, and divestment across European private equity and venture capital. 
The data shows a strong increase in investment and divestment activity in 2024, as well as robust fundraising, as European private equity and venture capital rebounded from the challenges of inflation and rising interest rates. Although the data indicates a recovery in activity, the industry continues to expect 2025 to remain challenging.

• Private equity and venture capital firms invested €126 billion in 2024, up 24% on 2023 levels, and well ahead of the average of the past five years. A total of 8,353 companies receiving investment, with renewed buyout activity driving the surge. Buyout investment reached €87 billion, up 42% year-on-year and 20% higher than the five-year average, just shy of the record €89 billion invested in 2021.

• Divestments rose strongly by 45% to €46 billion (at original investment cost) as 3,517 companies were exited, a 10% increase on 2023. Sales to other private equity firms surged, accounting for 44% of exit value, underlining the capabilities of other managers to identify opportunities to take private businesses to the next level, while divestments to strategics remained strong. Buyouts were the driver of divestment activity, with disposal value increasing by 39% to €34.5 billion.

The data also illustrates the long-term growth of private markets in Europe as funds raised €120 billion in 2024. Despite incremental fundraising being down 12% on last year, 2024 represented the eighth consecutive year of industry fundraising above $100 billion, while funds raised at final close hit €156 billion, reflecting the reality that funds are taking longer to close in the current environment. The proportion of fundraising from pension funds declined to 19% from 24% in 2023, although the percentage of capital coming from fund of funds and other asset managers – often conduits for smaller pension schemes and enablers of the democratisation of the asset class – rose to 27% of the total. For the first time, Invest Europe’s data also tracked listed private capital investment, highlighting this growing segment and its role in giving listed equities investors a route into private companies.

Eric de Montgolfier, CEO, Invest Europe, commented:

“European private equity and venture capital has demonstrated its resilience in 2024, with strong increases in both investments and divestments. While the recovery is encouraging, we must remain mindful of the continued economic headwinds and their potential impact on the industry, not least on fund raising.”

“Private capital isn’t just bouncing back; it’s powering Europe forward. Capital is flowing to the companies and sectors that will shape the future. At the same time, it’s creating long-term wealth for European savers and citizens and supporting a stronger, more competitive, and more sovereign Europe.”

Investing in Europe: Private Equity Activity 2024 highlights the impact of private capital working at the coalface of innovation and growth. European venture capital registered strong double-digit increases in all measures of activity in 2024. VC fundraising rose by 43% on the previous year to €22 billion, only modestly behind 2022’s record level. VC investment rose by 26% to €18 billion, also the second highest level ever registered in Europe, while VC divestment increased by 12% to €3 billion. The figures illustrate the long-term growth of the industry, with investment some 66% above the total achieved in 2019, and almost five times the level of 2014. 

The theme of supporting innovative and essential industries is also evident across broader industry investment data. Information Communications Technology (ICT) remained by far the largest sector in 2024, accounting for 32% of all investments and 33% of companies backed. Biotech & Healthcare was the second largest area of focus by number of companies on 17% and accounted for more than 14% of all capital deployed.

The data also tracks the ongoing shift in the private equity and venture capital industry’s centre of gravity. The UK and Ireland's share of European fundraising has meaningfully decreased, returning to 2021 levels. This trend warrants attention in the coming years, as it represents a decrease in both amount and market share. Funds raised by managers based across France & Benelux accounted for over 30% of total capital raised, and fundraising by managers in DACH, the Nordics, and Southern Europe all increased on the previous year.

Click to download the full Investing in Europe: Private Equity Activity 2024 report and supporting data.

-ENDS-

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Disclaimer: The content is for informational and research purposes only. It does not constitute financial advice, investment guidance, or a solicitation to buy or sell any financial products or services. Invest Europe is a non-profit organisation dedicated to research, policy insights and reputation management. Any references to investment, finance, or related topics are based on specific and verifiable data and presented strictly within a research and educational context.