EQT Ventures & Growth
Growth fund fucked up massively during 21-22 valuation bubble, decided to focus on more boring deals, then ended up doing Lovable, Harvey, and every other hype AI deal under the sun
Ventures fund raised $1bn and then just.. got distracted with random shit like climate and then somehow decided to cut a check into anything they could squeeze into (1X, Strawberry browser - seriously?)
They've sort-of combined both strategies but also not?
They moved a few people from Europe to US, and a handful of Associates in London were also pushed out / left recently.
They also seem to have other strategies within ventures & growth including life sciences, future fund etc.
And now they got a €5bn 'Scaleup fund' to throw around Europe
Wtf exactly is going on?
Based on the most helpful WSO content, here's a breakdown of the situation with EQT Ventures and Growth:
Valuation Bubble Fallout (2021-2022):
EQT Growth faced significant challenges during the valuation bubble, leading to a shift in strategy. Initially, they aimed to focus on "boring" deals, but they quickly pivoted back to high-profile, hype-driven investments like Lovable and Harvey, particularly in the AI space.
Ventures Fund Missteps:
The Ventures fund raised $1 billion but appeared to lack a cohesive strategy. They ventured into diverse areas like climate tech and made questionable investments (e.g., 1X, Strawberry browser), which diluted their focus.
Blurring of Strategies:
There seems to be a lack of clarity between their Ventures and Growth strategies. While they’ve attempted to merge or align these approaches, the execution appears inconsistent.
Geographic Shifts and Team Changes:
Diversified Strategies:
Beyond Ventures and Growth, EQT has introduced other strategies, including life sciences and the "Future Fund." This diversification could be an attempt to hedge risks or explore new opportunities, but it also adds to the perception of a scattered focus.
€5 Billion Scaleup Fund:
The launch of the €5 billion Scaleup fund for Europe suggests a renewed emphasis on growth-stage investments within the region. This could be a move to consolidate their position in the European market and regain credibility after recent missteps.
In summary, EQT seems to be grappling with strategic identity issues, balancing between hype-driven investments and more stable, focused approaches. The internal restructuring and new fund launches indicate they’re trying to recalibrate, but the lack of a clear, unified direction raises questions about their long-term strategy.
Sources: What’s the mega fund cutoff?, Which investing strategy will be most challenged this decade (‘20 through ‘29)?, Finding the next Thoma / Vista?, Clarity on the Growth Equity Landscape, SoftBank Vision Fund / GIC / Temasek
Bumping
Also curious to hear from anyone in the know here. I'm surprised the mid and senior level folks have kept their jobs tbh
What you’re describing is a large platform trying to be everything at once and paying the price in focus and identity.
EQT Ventures and EQT Growth were always an awkward fit within a house that built its reputation on controlled buyouts with operational improvement playbooks. Venture is a different game — it rewards conviction bets, concentrated portfolios, and founders who want a specific type of partner. When a €30bn+ PE firm runs a VC arm, the incentive structures, decision-making speed, and partner bandwidth all work against what makes early-stage investing actually work.
The 2021-22 vintage problem isn’t unique to EQT — almost every growth fund that deployed heavily in that window is sitting on marks they’d rather not talk about. The pivot to “boring” deals after the bubble was rational. The subsequent AI FOMO is also rational at the individual deal level (Lovable and Harvey are genuinely exceptional companies), but it doesn’t reflect a coherent strategy — it reflects a platform reacting to consensus rather than leading it.
On the Ventures side: the 1X and Strawberry Browser investments are a symptom of what happens when a large fund needs to deploy capital but lacks a sharp thesis. You end up doing deals that make sense in isolation on a given Tuesday but don’t add up to a portfolio with a point of view.
The €5bn Scaleup fund for Europe is actually the most interesting piece here. That’s the mandate EQT probably should have had all along — growth equity in European tech at scale, where their LP relationships, operational network, and local presence are genuine advantages. The question is whether they have the right team in place to execute it, given the London exits you mentioned.
The honest read: this is a platform in the middle of figuring out what it actually is in venture and growth. That’s not unusual for firms this size. The messy period usually lasts a cycle.
Est possimus quia voluptatibus sapiente dolores est. Suscipit est qui quia quo delectus. Voluptatum et consequuntur animi velit. In consequatur dolorem optio laudantium magni quae et.
Nulla deserunt quo voluptates qui et. Beatae sint ipsum cum possimus et. Ut pariatur minus a aperiam iure qui sapiente.
See All Comments - 100% Free
WSO depends on everyone being able to pitch in when they know something. Unlock with your email and get bonus: 6 financial modeling lessons free ($199 value)
or Unlock with your social account...
Beatae dicta qui assumenda molestias id. Harum vel laboriosam qui quasi et molestiae. Aut nihil eos perferendis.
Error commodi et soluta ea sit eligendi. Est sint vitae porro architecto quam itaque rerum. Temporibus dolore et quod impedit rem fuga alias. Quo et perferendis ex consequuntur animi. Quae nostrum nihil illum et reiciendis nemo. Nihil aut omnis labore odit at voluptatem. Eveniet accusantium amet minima minima.
Inventore quia ut soluta quia porro quidem vitae. Voluptas illum est dolore ipsa minima recusandae vel dolor. Et totam autem excepturi commodi.
Illo quia incidunt esse aut amet. Voluptatem qui placeat exercitationem dolores tenetur est animi. Ut vero vitae voluptas doloremque vel accusamus non. Accusamus in sint non quo eos soluta.