In our funding analysis looking at all of the investments in the Nordics in 2015 we noted:
This rate of growth was 233% as investments in 2015 rose to 30 from just 9 in 2014.
Incredibly, so far in 2016 not only has this rate been sustained but it has actually grown, as Norway has already recorded 28 investments this year putting 2016 on track to see more Norwegian investments than 2014 and 2015 combined.
28 investments at this point of the year compared to 7 this time last year is a 300% growth rate, and if this rate of investment can be maintained throughout the year, then 2016 looks to be a defining year for the Norwegian tech scene.
If the current rate of investment of 1.4 investments per week is maintained, then 2016 would see an incredible 73 investments into Norwegian tech startups, an increase of 711% in just two years.
However, despite the dramatic increase in the number of investments, the amount of capital, although increasing, is not quite doing so at the same rate.
There’s a simple and obvious reason for this, the additional investments are happening at an early stage as Norway’s startup scene is beginning to blossom, this is evident when we look at what size the investments have been each year up until this point (May 20th)
2016 has already seen 14 investments below $1 million, whereas the two previous years have brought us just two. This is clear evidence that not only does Norway have an increasing number of tech startups but also that there is more available capital for early-stage Norwegian startups than there has been in previous years.
Although the biggest increase in the number of investments is at an earlier stage, we will see investments at all sizes increase in 2016. In fact, I’m aware of at least two $10 million+ rounds that have not been announced as of yet, a real sign that the Norwegian scene is beginning to see real progress in terms of investment across the board.
And while Norway is a long way off competing with Finland and Denmark (Sweden are in a league of their own) when it comes to attracting venture capital, there are strong signs that it perhaps won’t be that long until it can.