**Draper Esprit: Europe’s Leading Listed Venture Capital Firm | CEO Interview**
In this YouTube video, Draper Esprit’s CEO, Martin Davis, discusses the European venture capital market and the opportunities it presents to investors. Draper Esprit is the leading pureplay listed venture capital firm in Europe, investing approximately £120m annually in high-growth European start-ups at Series A+ in the UK and Europe.
With a focus on four broad technology sectors including consumer, enterprise, hardware and deeptech, and digital health and wellness, Draper Esprit has a strong track record of investments and successful exits. Since listing, the firm has realized over £200m of exits, including companies like Peak Games, PodPoint, and TransferWise. Additionally, the portfolio includes late-stage companies like Graphcore, UiPath, Revolut, and Trustpilot, which are poised for future NAV appreciation.
The video highlights the impact of major funding rounds and exits on the share price, as demonstrated by UiPath’s recent valuation of US$35bn, resulting in a 3x uplift. Draper Esprit aims for a 20% annual return on its portfolio and has delivered a 15.1% FY16-FY20 NAV per share compound annual growth rate.
Highlighting the European VC market, Martin Davis discusses how it follows the lead of the US market but is developing at a slightly slower pace. He also mentions the increased influx of US and corporate VC money into Europe, making the market more competitive. However, he emphasizes the immense opportunities for growth, citing the record-breaking investment of approximately 30 to 40 billion in 2020, with London accounting for around 20 billion.
Martin Davis talks about the rise of unicorns in Europe, with 15 unicorns being generated last year, indicating the success and growth potential of individual companies. He mentions health tech and fintech as the standout sectors in Europe, with a strong interest in bio and health tech and London being the fintech center. Geographically, the UK, Germany, France, and Scandinavia are the major centers for venture capital in Europe.
The video also highlights Draper Esprit’s unique position as a listed venture capital firm, providing a liquid investment vehicle for a diversified portfolio of high-growth European startups. By matching public listed money with private markets, Draper Esprit allows access to the private markets for large fund managers and pension funds. Their evergreen investing horizon allows them to invest in companies at various stages, from seed investing to pre-IPO.
The video concludes by touching on Draper Esprit’s recent placing, where they raised £110 million to accelerate their rate of investment. With an oversubscription indicating strong public market interest, Draper Esprit aims to invest over £120 million annually from their balance sheet, ensuring sustainable investment levels.
For more insights into Europe’s venture capital market and Draper Esprit’s strategies and investments, watch the full interview [here](https://www.youtube.com/watch?v=video_id).
*Source: [Edison Group](https://www.edisongroup.com/edison-tv/)*
Draper Esprit is Europe’s leading pureplay listed venture capital (VC) firm, investing c £120m annually in high-growth European start-ups at Series A+ in the UK and Europe, across four broad technology sectors: consumer, enterprise, hardware and deeptech, and digital health and wellness.
In addition to its investments, Draper Esprit has realised over £200m of exits since listing. Recent exits have included Peak Games, PodPoint and TransferWise, yet the portfolio still includes late-stage companies ready to drive future NAV appreciation, such as Graphcore, UiPath, Revolut and Trustpilot. As has been demonstrated this week by UiPath (valued at US$35bn, 3x uplift), major funding rounds and exits can move the share price materially.
As a rapidly scaling leader in the technology sector, Draper Esprit targets a 20% annual return on its portfolio and has delivered a 15.1% FY16–FY20 NAV per share CAGR.
In this interview, Draper Esprit’s CEO, Martin Davis, discusses the European VC market, the opportunity that the European tech sector offers to investors as it follows the lead of the US market, what this means for Draper Esprit and its portfolio of investments and how management is looking to develop and scale the business over the next few years. We also discuss where valuations in the tech sector might be headed and touch on the latent value in Draper Esprit’s portfolio.
See more at: https://www.edisongroup.com/edison-tv/