Brussels taps Stockholm’s EQT to manage €5bn deep-tech fund

The Scaleup Europe Fund, an extension of the European Innovation Council, will prioritize investments in quantum computing, biotech, and clean tech. While the Commission set the strategic mandate, EQT will maintain independent control over individual investment decisions, operating on market terms to ensure commercial viability. The firm emerged from a competitive tender process that included London’s Atomico and Paris-based Eurazeo.

Backing for the scheme arrives from a coalition of heavyweights, including Denmark’s EIFO, the Dutch pension fund ABP, and Allianz. EQT, an industrial giant tracing its roots to Sweden’s Wallenberg family, traditionally specializes in multi-billion dollar buyouts of mature companies rather than early-stage venture capital. While the firm manages a smaller €2bn growth arm, its vast portfolio—ranging from chemicals distributors to private schools—has sparked questions regarding its alignment with frontier deep-tech development. EQT’s current exposure to the sector is concentrated in niche acquisitions like fusion energy developers and battery manufacturers. With the first capital deployments slated for the coming weeks, the market will soon see if the private equity titan can successfully pivot its strategy to nurture the next generation of European tech giants.