Fundraising in Europe is on the up because of its experienced fund managers, developed ecosystem to carry and VC-backed success stories.

European venture capital fundraising last year hit €6.4 billion — the highest level since 2007, according to a report from Invest Europe.

Nearly 10% of this capital was from North American institutional investors as Europe’s growing economies, thriving investment ecosystem and the unprecedented rise of its tech industry make it an attractive investment destination, reveals The Acceleration Point: Why Now is the Time for European Venture Capital.

Europe represents the world’s largest single market, with GDP growth of 1.8% at the end of last year according to the European Commission. All economies are seeing growth, boosted by the corporate sector, increasing investments and job creation.

Invest Europe’s data shows VC fund sizes are rising, with 13 funds raising in excess of €100 million last year. This is set to be boosted further this year thanks to a new €400 million European Union-backed fund-of-funds to facilitate more investment from large institutional investors.

“Anyone who has ever played Angry Birds or searched for flights via Skyscanner is benefiting from Europe’s highly talented entrepreneurs — not to mention the fintech and life sciences start-ups leading the way in their sectors. Backed by Europe’s experienced VC fund managers, these companies can rival the best in the world for returns to investors,” said Nenad Marovac, Managing Partner of VC firm DN Capital.

Of the €4.3 billion total venture capital investment in Europe last year, fund managers invested 44% into companies specialising in information and communications technology. The second highest amount, 27%, went to biotech and healthcare.

Businesses in this sector have a strong track record in Europe, such as Switzerland’s Actelion and Denmark’s Genab with their marketed cardiovascular and cancer products. The remaining capital was invested into companies focused on energy, financial services, consumer products and business services, according to Invest Europe data.

Venture capital-backed companies created in Europe include the Swedish music service Spotify, the UK’s travel comparison site Skyscanner, Denmark’s customer service software maker ZenDesk, Germany’s online sales platform Auto 1 Group, France’s car sharing service Bla Bla Car and Finland’s gaming pioneers Rovio, King and SuperCell.

To download a FREE copy of The Acceleration Point report, visit Invest Europe’s website.