Creandum closes $750 million Fund VIII, its largest, and opens a San Francisco office

Swedish venture capital firm Creandum has closed its eighth fund at $750 million, about €668 million, its largest fund to date. The firm, an early backer of Spotify and more recently of Lovable and Black Forest Labs, will invest from seed to Series A, according to Tech.eu.

Creandum is also opening an office in San Francisco, Tech Funding News reports, adding to its teams in Stockholm, London and Berlin.

The fund

Fund VIII is larger than Creandum's previous fund, Fund VII, which closed at €500 million in June 2024. According to Tech Funding News, the new fund will invest from pre-seed to Series A in around 30 startups, with roughly half of the capital reserved for new investments and half for follow-on rounds in existing portfolio companies.

The fund is backed by US and European institutional investors. Creandum did not disclose individual limited partners. EU-Startups also reported the close at €668 million.

Creandum was founded in 2003 with a first fund of €40 million. Its portfolio includes Spotify, Klarna, Lovable, Modal, Black Forest Labs and Rillet. Founder and partner Staffan Helgesson said that after nearly 25 years in venture, "it's the founders you back that matter most".

Why San Francisco

Creandum has had a presence in San Francisco since 2012 and opened in London in 2021. The new office formalises its US base. According to Tech.eu, Creandum pointed out that roughly half of all capital invested in European tech over the last year came from the US, while very little US tech funding came from Europe. The firm said it is expanding in San Francisco as US venture firms increasingly compete for deals in Europe.

Creandum said its US staff will work alongside its teams in Stockholm, London and Berlin, giving founders a single partner across Europe and the US. Helgesson also said the firm will look for founders in Europe "and increasingly in the US". Sifted framed the move as part of a push to back AI companies.

The European fundraising backdrop

Raising a large early-stage fund is harder than it was in 2021. Tech Funding News, citing KPMG and PitchBook data, reported that European VC funds raised $14.9 billion across 111 funds up to the end of September. That is a market where established firms with strong returns raise money, while many first-time managers struggle.

Creandum's close is the latest in a series of European fund announcements this autumn, including Entourage's €100 million Fund II, BY Venture Partners' Fund III, AP Ventures' $300 million Fund III and Seaya's Nova growth fund.

What it means for European founders and investors

More seed and Series A capital. About 30 new companies will receive initial investments from Fund VIII, plus follow-on money for existing ones. For founders at seed and Series A, Creandum is now one of the largest dedicated European pools of capital at that stage.

AI remains the focus. Creandum's recent winners are AI companies, such as Lovable and Black Forest Labs. Founders building AI products in Europe should expect strong interest, but also strong competition for attention.

The US link matters. A San Francisco office signals that Creandum wants to help its companies expand to the US and connect with US growth investors. For European founders, choosing early investors with transatlantic networks can make later rounds easier.

Concentration in the LP market. Large closes by established firms show that limited partners are favouring proven managers. Emerging managers may need niche strategies or regional focus to stand out.

What happens next

Creandum will invest from Fund VIII over the coming years. With teams in Stockholm, London, Berlin and San Francisco, it is positioned to compete with US firms for the best European early-stage deals.

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