French venture capital firm Newfund has announced the final close of its HEKA fund at €60 million, establishing the first European fund exclusively dedicated to BrainTech. This pioneering fund aims to finance approximately 25 technology startups focused on advancing brain health. The initiative seeks to bridge the gap between Europe's strong neuroscience research and the commercial scaling opportunities predominantly found in the United States.
Addressing a Transatlantic Imbalance
The global BrainTech landscape is currently dominated by the United States, which captures over 85% of all funding in the sector. According to Newfund's data, of the $4.2 billion raised globally in 2025, a staggering $3.6 billion was invested in the US. This trend highlights a significant disparity and an opportunity for European innovators to claim a larger share of the rapidly growing market.
Despite this funding imbalance, Europe possesses world-class research centers, hospitals, and academic teams that produce groundbreaking neuroscience innovations. However, as Newfund's Managing Partner François Véron notes, these advancements have historically struggled to scale due to a lack of appropriate funding. Consequently, a significant portion of the value generated from European research has been captured by American companies and investors.
HEKA's Strategic Investment Approach
HEKA's core strategy is to build a transatlantic bridge, connecting European scientific excellence with US market access and capital. The fund leverages Newfund's established American presence, including a Palo Alto office and a robust network developed over two decades. This support system is designed to guide European startups through international expansion, FDA approval processes, and customer acquisition in the US.
The fund focuses on companies where scientific rigor and commercial ambition are mutually reinforcing, according to Partner Anne-Sophie Saint-Martin. Investments span neurology, psychiatry, and cognitive health, targeting technologies like AI diagnostics, digital therapeutics, and advanced imaging. This specialized approach ensures that portfolio companies are positioned at the forefront of medical innovation and can deliver tangible clinical impact.
Backed by a large base of entrepreneurs and family offices, the HEKA fund is also classified as an Article 9 SFDR impact fund. This designation underscores its commitment to generating positive social and environmental outcomes alongside financial returns. The investor base includes founders from previous Newfund successes, demonstrating strong confidence in the firm's ability to nurture high-growth companies.
Early Success and Portfolio Highlights
Since its inception, HEKA has demonstrated significant momentum, having analyzed over 900 startups and invested in nine promising companies. Its portfolio includes innovators developing AI tools for radiology, robotics for post-stroke rehabilitation, and platforms for drug discovery. These companies are already making a tangible impact in both clinical and industrial settings across Europe and North America.
The fund's transatlantic strategy is already yielding impressive results, with eight of its nine portfolio companies now active in the United States. Furthermore, two of these companies successfully obtained FDA clearance in 2025, a critical milestone for market entry. This early traction validates HEKA's model of providing European startups with the resources needed to compete on a global scale.
The Broader European BrainTech Landscape
Newfund's €60 million fund closes amid a surge of investment activity across the European BrainTech and neuro-focused HealthTech sectors. Other notable recent financings include UK-based CoMind's €85 million raise and France's EG 427 securing €27 million for neurology programs. This broader trend indicates growing investor confidence in the region's capacity for innovation in brain health technologies.
Collectively, these recent announcements represent a substantial capital injection of nearly €216 million into the European ecosystem. This influx of funding is crucial for nurturing a new generation of companies capable of translating scientific breakthroughs into commercial successes. France, in particular, is emerging as a key hub, with several high-profile startups attracting significant investment for their neurotechnology platforms.
The final close of Newfund's €60 million HEKA fund marks a pivotal moment for the European BrainTech sector. By providing specialized capital and a strategic bridge to the US market, the fund addresses a critical gap in the innovation pipeline. With a strong portfolio already gaining traction, HEKA is poised to empower European entrepreneurs to transform groundbreaking research into globally impactful solutions for brain health.