According to the EY’s annual barometer, a record year has just passed for French Tech. In 2021, there will have been 784 fundraisers, thus bringing the number of French unicorns (start-ups valued at more than a billion dollars) to 21. In all, 11.56 billion euros were raised in 2021, which represents an increase in value of 115% compared to 2020.
+26% in volume and +115% in value for 2021
If we look at the figures for 2016, the growth in five years is all the more phenomenal… Indeed, at the time, French start-ups had only raised €2.21 billion. In 2021 they raise six times more. Proof that the French Tech has acquired a certain maturity. As Franck Sebag, partner at EY, points out, “Between 2020 and 2021, there is an increase in 26% in volume and 115% in value”. The trend was upward during the second half of the year, which may leave predict another record year in 2022.
Evolution of French Tech over the past six years. Source: EY Barometer.
On average, young French shoots ont raised 14.76 million euros. Some of them have seen their valuations jump… This is the case for the 12 start-ups who have joined the closed circle of French unicorns: Alan, Ledger, Lydia, Sorare, Swile, BackMarket, IAD, ManoMano, Vestiaire Collective, Dental Monitoring, Contentsquare, Shift Technology. In the top 5 fundraisers, we find Sorare, with 586 million euros, Mirakl with 473 billion euros, Contentsquare with 408 million euros, ManoMano with 323 million euros and Ledger with 312 million euros. euros.
Investments that are increasing in all sectors, but if it is web services that largely dominate the market in 2021. Investors are very fond of these investments:
Evolution of fundraising according to the amounts between 2021 and 2021. Source: EY Barometer.
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French Tech is on the rise
If we focus on the European level, France is in third place. As usual, it is the United Kingdom which is well ahead of the ranking, with this year 32.4 billion euros raised (+ 155% compared to 2020). In second place we find Germany with 16.2 billion euros raised (+209%). The good French dynamic could well be confirmed in 2022. According to EY’s annual barometer, French start-ups and scale-ups “benefit from their visibility and international reputation”.
The first weeks of 2022 seem to confirm this good trend. In just a few days, the French Tech scene has seen the birth of four new unicorns. With a new funding round of 450 million euros, BackMarket has also become the most valued French start-upe (5.1 billion euros). As of January 18, 2022, 25 startups now have “unicorn” status in France. The new ones are PayFit, Ankorstore, Qonto and Exotec. In short, French Tech is in great shape and that’s excellent news..