Research & Insights
Finch Capital publishes research on critical technology for Europe's regulated industries and functions
Market Pulse
Executive Summary
November 2025 marked another strong month for European Financial and Business Technology, with continued investor appetite driving significant deal activity across both sectors. The market demonstrated resilience with sustained valuations and strategic M&A activity as the year draws to a close.
The Finch Index maintained steady performance, tracking closely with major indices while the European tech ecosystem continued to attract both venture capital and strategic acquirers seeking quality assets across key verticals.
Key Takeaways
Strong Q4 Finish: November continued the positive momentum from October, with robust deal activity across both Financial and Business Technology sectors as the year closes on a high note.
Notable Deals: Key transactions across Payments, Lending, and Enterprise Software demonstrated continued investor confidence in European tech assets.
M&A Activity Remains Strong: Strategic consolidation continued across both sectors with notable acquisitions in key verticals.
Stable Valuations: The Finch Index maintained steady multiples, demonstrating market stability as the year concludes.
Financial Tech
UK's mega rounds are dominating the FinTech scene
- •Q4 2025 saw record funding of €4.3B, driven by Revolut's €2.6B round
- •38 deals closed this month with UK & Ireland leading (19 deals)
- •Notable exits include Euronext acquiring ATHEX Group for €310M
Business Tech
Valuation decline contrasts with resilient fundraising levels
- •€746M raised in Q4 2025 across 39 deals
- •Major exit: Cegid acquired Shine for €982M
- •EV/EBITDA multiples declined across all segments vs Q4 2024
📊November Highlights
€4.3B
FinTech Funding Q4
77
Total Deals This Month
15.8x
Finch Index EV/EBITDA
4.2x
Finch Index EV/Rev
Finch Index Business and Financial Technology
Comparing valuation multiples against S&P 500 and NASDAQ 100
EV/Revenue
*As of 30/11/2025; median
EV/EBITDA
*As of 30/11/2025; median
The Finch Index is a proprietary benchmark designed to track the performance of our 9 Business and Financial Technology themes, serving as a relevant industry-specific valuation comparison alongside established indices such as the S&P 500 and the NASDAQ 100. The index is composed of 91 publicly traded companies, with 8 to 10 representative firms across each theme, ensuring a diversified and balanced view of market trends.
Financial Tech
UK's mega rounds are dominating the FinTech scene
VC/Growth Value Evolution (€m)
*As of 30/11/2025
VC/Growth Volume this month
*As of 30/11/2025 • Total: 38 deals
Finch Index - EV/EBITDA multiple evolution
*As of 30/11/2025; median
Finch Index - EV/Rev multiple evolution
*As of 30/11/2025; median
Notable Fundraises this month
| Company | HQ | Round Size |
|---|---|---|
| Revolut | 🇬🇧 | €2.6B |
| FNZ | 🇬🇧 | €560M |
| Zilch | 🇬🇧 | €152M* |
Notable Exits this month
| Acquirer | Acquiree | HQ | Est. Size |
|---|---|---|---|
| Euronext | ATHEX Group | 🇬🇷 | €310M |
| Cinven | Objectway | 🇬🇧 | €150-300M |
| Bridgepoint Group | Zuto | 🇬🇧 | €150-300M |
Financial Technology Sector Analysis
🛡️ Insurance Technology
Insurance Tech continued its solid performance with activity across digital insurance platforms and risk management solutions. The sector maintained balanced growth with continued interest in underwriting automation.
💳 Payments
Payments remained a key focus area with continued investment in payment infrastructure and cross-border solutions. Strategic activity continued across European markets.
🏦 Banking & Digital Currency
Banking & Digital Currency showed robust activity with continued innovation in digital banking platforms and core banking technology. The sector maintained strong investor interest.
📊 Wealth & Capital Markets
Wealth & Capital Markets continued to see strategic activity with focus on data analytics and trading infrastructure. M&A remained active in this segment.
🏠 Lending & Mortgages
Lending maintained strong activity with continued focus on SME lending platforms and trade finance solutions. The sector saw sustained investor appetite.
Business Tech
Valuation decline contrasts with resilient fundraising levels
VC/Growth Value Evolution (€m)
*As of 30/11/2025
VC/Growth Volume this month
*As of 30/11/2025 • Total: 39 deals
Finch Index - EV/EBITDA multiple evolution
*As of 30/11/2025; median
Finch Index - EV/Rev multiple evolution
*As of 30/11/2025; median
Notable Fundraises this month
| Company | HQ | Round Size |
|---|---|---|
| Wonderful | 🇳🇱 | €86M |
| Formalize | 🇩🇰 | €30M |
| Conney | 🇬🇧 | €29M |
Notable Exits this month
| Acquirer | Acquiree | HQ | Est. Size |
|---|---|---|---|
| Cegid | Shine | 🇫🇷 | €982M |
| BU | Bluetelligence | 🇩🇪 | <€50M |
| UKG | Mo | 🇬🇧 | <€50M |
Business Technology Sector Analysis
👥 HR & Payroll
HR & Payroll continued to see strong activity with focus on workforce management and recruitment platforms. The sector maintained momentum with notable M&A activity.
💰 Finance & Ops
Finance & Ops demonstrated solid performance with continued investment in inventory management and ERP solutions. The sector showed consistent deal flow.
⚖️ Legal & Compliance
Legal & Compliance maintained its strong position with continued investment in legal technology and compliance platforms. The segment attracted significant investor interest.
🔧 IT & Data
IT & Data maintained premium valuations with sustained activity in cybersecurity, data analytics, and AI infrastructure. Enterprise digital transformation continued to drive demand.
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