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Cleantech Investments in Denmark, Finland, Norway, Sweden: Are they performing well?

Wang, Jingxin LU (2015) In IIIEE Master thesis IMEN56 20151
The International Institute for Industrial Environmental Economics
Abstract
The development of clean technology (cleantech) is necessary in order to address many
prominent environmental challenges. However, financing can be a hurdle for the development
of cleantech companies. Venture capital (VC) plays an important role in cleantech
development. While the four large Nordic countries are regarded as performing well in terms
of cleantech innovation there are signs that VC investments are not performing well in the
Nordic region. Therefore, this thesis explored whether the private Nordic VC funds are
performing well or not and why they perform successfully or unsuccessfully. The results from
the performance review and the interviews do not support the initial information that the
Nordic funds are not... (More)
The development of clean technology (cleantech) is necessary in order to address many
prominent environmental challenges. However, financing can be a hurdle for the development
of cleantech companies. Venture capital (VC) plays an important role in cleantech
development. While the four large Nordic countries are regarded as performing well in terms
of cleantech innovation there are signs that VC investments are not performing well in the
Nordic region. Therefore, this thesis explored whether the private Nordic VC funds are
performing well or not and why they perform successfully or unsuccessfully. The results from
the performance review and the interviews do not support the initial information that the
Nordic funds are not performing well. Only one of the interviewed funds does not have
companies with a trend of growing in its portfolio. The remaining five interviewed Nordic
funds have some companies in their portfolio with a growing trend. On the other hand, it is
not certain that these funds are performing well as only historical trends of companies that are
still in the portfolios are considered, while the actual performance of funds finally depends on
the exits of the portfolio companies. Several factors that differ between the poorly performing
Nordic fund and regarded successful European funds, including the fund size, specialization
in investments, management of portfolio companies and the background of the fund. When
comparing the other Nordic funds to the European funds, some differences could be
identified too. For example, the funds from other European countries review more proposals
than the Nordic ones in general. The European funds are also more open to initial public
offerings (IPO) as an option for exiting portfolio companies. (Less)
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author
Wang, Jingxin LU
supervisor
organization
course
IMEN56 20151
year
type
H2 - Master's Degree (Two Years)
subject
keywords
clean technology (cleantech), factors, Nordic, performance, venture capital (VC)
publication/series
IIIEE Master thesis
report number
2015:08
ISSN
1401-9191
language
English
id
8168529
date added to LUP
2015-11-11 08:11:34
date last changed
2015-11-11 08:11:34
@misc{8168529,
  abstract     = {The development of clean technology (cleantech) is necessary in order to address many
prominent environmental challenges. However, financing can be a hurdle for the development
of cleantech companies. Venture capital (VC) plays an important role in cleantech
development. While the four large Nordic countries are regarded as performing well in terms
of cleantech innovation there are signs that VC investments are not performing well in the
Nordic region. Therefore, this thesis explored whether the private Nordic VC funds are
performing well or not and why they perform successfully or unsuccessfully. The results from
the performance review and the interviews do not support the initial information that the
Nordic funds are not performing well. Only one of the interviewed funds does not have
companies with a trend of growing in its portfolio. The remaining five interviewed Nordic
funds have some companies in their portfolio with a growing trend. On the other hand, it is
not certain that these funds are performing well as only historical trends of companies that are
still in the portfolios are considered, while the actual performance of funds finally depends on
the exits of the portfolio companies. Several factors that differ between the poorly performing
Nordic fund and regarded successful European funds, including the fund size, specialization
in investments, management of portfolio companies and the background of the fund. When
comparing the other Nordic funds to the European funds, some differences could be
identified too. For example, the funds from other European countries review more proposals
than the Nordic ones in general. The European funds are also more open to initial public
offerings (IPO) as an option for exiting portfolio companies.},
  author       = {Wang, Jingxin},
  issn         = {1401-9191},
  keyword      = {clean technology (cleantech),factors,Nordic,performance,venture capital (VC)},
  language     = {eng},
  note         = {Student Paper},
  series       = {IIIEE Master thesis},
  title        = {Cleantech Investments in Denmark, Finland, Norway, Sweden: Are they performing well?},
  year         = {2015},
}