EU wants to pump $2.6 billion into Europe’s VC funds to close investment gap with U.S.

From VentureBeat:

Hoping to give Europe’s surging startup ecosystem a shot of adrenaline, the European Union today announced the creation of a massive new fund-of-funds program dubbed VentureEU.

So far, the EU has committed $505 million of its own budget to the project, which now faces the challenge of raising the balance of the $2.6 billion fund from private investors.

VentureEU will include six funds to invest in VCs that are focused on such areas as digital services, medical technologies, life sciences, and energy. The program was officially unveiled today at the EU’s Digital Day in Brussels.

“In venture capital, size matters!” said Jyrki Katainen, the European Commission’s VP for Jobs, Growth, Investment, and Competitiveness, in a statement. “With VentureEU, Europe’s many innovative entrepreneurs will soon get the investment they need to innovate and grow into global success stories. This means more jobs and growth in Europe.”

The program is at once a massive undertaking and an indication of the huge challenges Europe faces as it seeks to turbocharge its startup economy....MORE