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Kreos Capital
Kreos Capital, led by Mårten Vading and Arun Mehra, is Europe's largest growth-debt provider to technology and healthcare companies, deploying €5B+ since...
Kreos Capital
Kreos Capital was founded in 1998 by managing partners Mårten Vading and Arun Mehra, establishing itself as a dedicated growth-debt provider when venture lending was still nascent in Europe. The firm operates from offices in London, Paris, Menlo Park, and Moscow, funding high-growth companies across the UK, continental Europe, Israel, and the United States. Unlike venture capital firms, Kreos provides non-dilutive debt financing, allowing founders and early investors to retain equity while scaling operations. The firm's strategy centers on providing senior secured loans ranging from €1 million to €30 million to late-stage venture-backed and growth-stage companies. Asset classes covered include venture debt, acquisition financing, and working capital facilities. Kreos targets capital-efficient businesses in enterprise software, digital health, fintech, and mobility. Confirmed portfolio names include Glovo, Delivery Hero's former competitor acquired in 2022; SaaS unicorn Pipedrive; and genomics platform Oxford Nanopore Technologies. The firm co-invests alongside venture capital sponsors and participates in follow-on rounds, often structuring milestone-linked drawdowns. Kreos has raised seven successive funds, with Kreos Capital VII closing at over €1.4 billion in commitments (per the firm, 2023), bringing total capital under management into the multi-billion-euro range. The team operates from four offices with deal professionals covering pan-European and select US transactions. In 2022, the firm completed a management buyout of its legacy external investor stakes, transitioning to a fully partner-owned structure (per Private Debt Investor, 2022). Kreos occupies a distinct position in European private credit — it is not a venture firm, a bank, or a generalist direct lender. The firm's sole mandate is growth debt, and it does not take equity warrants as standard practice. This pure-play structure eliminates conflicts with venture capital investors and makes Kreos a preferred silent partner in cap tables. Managing partners Vading and Mehra still lead the investment committee directly, preserving underwriting consistency across nearly three decades of market cycles.
General information
Firm type
Asset Manager
Year founded
1998
AUM
€1.5B - €3.0B (Altss estimate)
Location
Region
Europe
Country
United Kingdom
City
London
Corporate office
London, United Kingdom
Additional offices
Paris, France · Menlo Park, CA, United States · Moscow, Russia
Principals
Mårten Vading
Managing Partner
Arun Mehra
Partner
Sector focus
Frequently asked questions
How is Kreos Capital different from a venture capital firm?
Kreos provides non-dilutive debt financing rather than equity. The firm does not take board seats or ownership stakes as standard practice — it structures senior secured loans from €1 million to €30 million, allowing founders to retain control and cap-table flexibility. This debt-only mandate distinguishes it from both venture capital firms and generalist private credit funds.
Who makes investment decisions at Kreos Capital?
Managing partners Mårten Vading and Arun Mehra co-lead the investment committee. Both are co-founders of the firm and have been making credit decisions together since 1998. The partnership completed a management buyout of external investor stakes in 2022, making the firm fully partner-owned and operated.
What types of companies does Kreos typically lend to?
Kreos targets late-stage, venture-backed growth companies with demonstrated product-market fit and existing investor syndicates. Portfolio names have included Oxford Nanopore Technologies, Pipedrive, and Glovo. The firm focuses on capital-efficient sectors — enterprise software, digital health, fintech, and mobility — where recurring revenue models support debt service.
Does Kreos Capital participate in fund commitments or only direct deals?
Kreos does not invest in venture capital funds. The firm originates and underwrites all loans directly, structuring each facility to match the borrower's milestone schedule — often through tranched drawdowns tied to revenue or product development goals.
Where does Kreos Capital deploy capital geographically?
Kreos invests across the UK, continental Europe, Israel, and selectively in the United States. Its offices in London, Paris, Menlo Park, and Moscow support origination in these markets. The firm has historically been most active in the UK and Western Europe, with Israel emerging as a significant secondary geography.
What is Kreos Capital's known posture on co-investment alongside external GPs?
Kreos typically lends alongside the borrower's existing venture capital syndicate rather than co-investing alongside other lenders. The firm operates as the sole senior secured creditor in most transactions, though it may participate in club deals for larger facilities exceeding its single-name concentration limits.
Does Kreos Capital take equity warrants in its portfolio companies?
Kreos generally does not take equity warrants as a standard loan term, which is a structural differentiator from many US-style venture debt providers. The firm's returns come primarily from interest income and arrangement fees rather than equity upside, aligning incentives with founders who want to minimize dilution.
Profile maintained by Altss using OSINT (open-source intelligence), regulatory filings, licensed data partners, and verified direct submissions. Read the methodology. Last updated: . Continuous refresh with full update cycles at least every 30 days.
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