Private equity makes a positive contribution to Finnish economy – portfolio companies growing at a double-digit pace

Finnish companies backed by Finnish private equity (PE) and venture capital (VC) investors achieved a record-breaking 19.5% revenue growth in 2017. Exports of the portfolio companies also grew by a whopping 40.7%, with the number of personnel growing by 14.2%. Finnish PE- and VC-backed companies currently employ over 80 000 people in Finland. Moreover, the global turnover of these companies already amounts to over 21 billion euros.

The results of Finnish Venture Capital Association’s annual study on private equity’s economic impact further verifies the central role of PE and VC investors in creating and accelerating growth in businesses and economy as a whole.

Finnish companies in Finnish PE and VC firms’ portfolios achieved an increase in total revenue of up to 19.5% in 2017, marking nearly 70% faster revenue growth than in the previous year. Growth in the number of personnel in portfolio companies has also continued to be strong: global number of employees of Finnish companies reached an increase of 14.2% , while the number of employees in Finland grew by 12.6%.

Furthermore, around 40% of all Finnish PE- and VC-backed companies boosted their export efforts last year. Exports of portfolio companies increased altogether by 40.7% in 2017.

– A risk-averse culture and weak internationalization of businesses have traditionally stood in the way of Finland’s growth. While companies backed by PE and VC investors still represent a fairly small portion of all Finnish companies, it is evident that this exact group of firms expands and grows at an accelerated pace, outperforming their peers. No form of ownership can guarantee that an individual company will prosper, yet there is strong evidence that private equity makes a positive contribution to Finnish businesses and economy as a whole through providing portfolio companies with capital as well as with courage and valuable expertise to grow on global markets, says Pia Santavirta, Managing Director of the Finnish Venture Capital Association.

Altogether, the combined turnover of the around 500 Finnish PE- and VC-backed companies included in the study amounts to over 21 billion euros. These portfolio companies employ already over 80 000 people in Finland, meaning they employ around 6% of all personnel working for private sector in Finland.

Additional information:

Pia Santavirta

Finnish Venture Capital Association, managing director

+358 40 546 7749


Pauliina Martikainen

Finnish Venture Capital Association, head of communications

+358 45 138 5002


FVCA for Media

Private equity’s economic impact

The economic impact of private equity was studied by carrying out a survey for Finnish private equity and venture capital investors. The 42 investors surveyed provided information on approximately 500 target companies. This data was supplemented by information available from public sources in terms of foreign investor activity.

Finnish Venture Capital Association (FVCA) promotes the interests of venture capital and private equity investors and their positive impact on growth companies and the national economy. Most Finnish private equity investors are members of the association. Additional information: