NETHERLANDS Trends and Developments Contributed by: Herald Jongen, Maarten de Boorder, Samuel Garcia Nelen and Jelmer Kalisvaart, Greenberg Traurig, LLP
Greenberg Traurig, LLP Beethovenstraat 545 1083 HK Amsterdam Netherlands Tel: +31 20 301 7300 Email: amsinfo@gtlaw.com Web: www.Gtlaw.com
Introduction Similar to last year, the Dutch tech ecosystem is thriv- ing. This is supported by the Dutch government’s positive view on the use of technology, the cloud and artificial intelligence (AI), as well as the Netherlands’ robust academic record. Almost all courses at Dutch universities are given in English (although there are plans to change this), and the tuition cost is very low compared to other countries. As a result, students from all over the world attend, and a lively start-up and scale-up scene has emerged, especially in and around Amsterdam, Eindhoven and Enschede. Both Wageningen (AgriFood) and Leiden (Life Sciences) are renowned for their innovative technology- and business-minded ecosystems, which spin off a lot of highly innovative and technology-driven businesses. The government nurtures these ecosystems and has, besides the historically highly active Dutch regional investment funds, recently set up a fund of EUR1.7 billion to invest in start-ups and scale-ups (Invest.nl). Other noteworthy examples of favourable govern- ment initiatives include Techleap, the Seed Capital Scheme and the Dutch Growth Fund. In shifting their investment horizon from fossil fuels and other tradi- tional industries, various Dutch pension funds (which are known to have very deep pockets), such as PME and PMT, have recently also committed significant amounts of funds focusing on (clean)tech and deep tech developments. APG’s recent investment in large battery storage projects is a good example. However, it is not just the government fuelling this favourable start-up and scale-up landscape. The Netherlands has – since the inception of “tech” as an industry – been at the forefront of technological innova- tion, boasting countless champions like Philips, ASML,
ASMI, BESI, ADYEN and, more recently, the unicorns Bird and WeTransfer, to name just a few. The ecosys- tems that have spun off these companies, and that are fuelling them, are driving many bright minds and inves- tors from all over the world into the Dutch tech sectors. And this is further fuelled by the vibrant venture capital and private equity (PE) industries in the Netherlands, which attract funds from investors worldwide to invest in the Dutch and European tech sectors. The high-speed internet penetration in the Nether- lands is high, and the Netherlands boasts some of the fastest internet systems in Europe. This all leads to a favourable investment climate and M&A activity. Deal Activity in 2024 and 2025 After the record-breaking M&A years, the Dutch M&A market overall experienced challenging times in 2024 and the beginning of 2025. Deal making in the large- cap segment was down, while the mid-market and strategic deals proved to be more stable. General cross-border M&A activity was impacted by ongoing geopolitical uncertainties and persistent macroeco- nomic challenges. The continuing decline in inflation and lowering interest rates, along with considerable (and slow) souring of dry powder at PE and venture capital firms, contributed to a more favourable M&A and investment climate in 2025. The Dutch tech M&A market in 2025 required some resilience from investors and deal-makers as the uncertainty regarding tariffs and geopolitical aspects persisted. Although PE and venture capital firms still have considerable dry powder, investors remained somewhat hesitant. The global uncertainty around these factors caused delays in deals. Although deal volumes declined in the first quarter of 2025, the M&A
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