The 2025 edition of the ScaleX Invest European Tech IPO Barometer provides a detailed view of how Europe’s capital markets are evolving — and what drives value once companies go public. Our analysis covers 119 European tech IPOs with market capitalisation above €400 million at listing, offering a comprehensive picture of post-listing performance, sector trends, and valuation shifts.
Europe’s exchanges consolidate their leadership
European stock exchanges account for 76% of tech IPOs since 2015, confirming their role as the primary hub for the region’s issuers. While the US remains the destination of choice for the largest global companies, competition there is often too intense for mid-sized European firms.
Listing in Paris, Frankfurt, Stockholm, or London typically ensures closer investor proximity, stronger pricing discipline, and better visibility with sector-specialist investors. This discipline matters: companies listing on European venues tend to experience fewer valuation corrections, reflecting fairer IPO pricing and more sustainable mid-term performance than US-listed peers.
Maturity remains the strongest predictor of post-IPO success
Average post-IPO stock performance remains negative three years after listing (around –6% per year), but the underperformance is far from uniform. Issuers with revenues above €1 billion at IPO consistently outperform, supported by broader analyst coverage, higher institutional ownership, and deeper liquidity.
Smaller companies, on the other hand, face limited visibility and lower trading volumes, translating into persistent valuation pressure — especially for those yet to reach profitability. Scale, visibility, and timing remain the key determinants of post-IPO resilience.
AI optimism lifts multiples
Following the sharp correction of 2022, valuation multiples rebounded in 2024 and early 2025, driven largely by AI-exposed segments — notably corporate services, customer experience, and fintech — where investors are rewarding data-driven, scalable models.
CleanTech faces policy headwinds
In contrast, CleanTech and Climate Tech remain under pressure amid political uncertainty and reduced policy support, particularly in the United States. These capital-intensive sectors, often characterised by longer time-to-profitability, are more vulnerable to shifting regulatory priorities and tighter financing conditions.
What this means for investors
For investors, founders, and policymakers, several lessons emerge from this year’s analysis:
- Venue selection matters: European exchanges offer a more stable balance between investor reach and pricing discipline.
- Timing is strategic: Reaching sufficient scale and financial maturity before listing significantly improves the odds of post-IPO success.
- Sector focus counts: AI-driven business models are driving valuation recovery, while policy-dependent sectors such as CleanTech must adapt their funding strategies to rebuild confidence.
Download the White Paper
Download the full European Tech IPO Barometer 2025 by ScaleX Invest to access the complete dataset, exchange-by-exchange and sector breakdowns, maturity cohorts, and our transparent methodology behind every chart (post-IPO returns, market capitalisation trends, and revenue multiple analysis).
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