Paris-based Newfund Closes €60 Million HEKA Fund for BrainTech Innovation

In a significant move for the European startup ecosystem, Paris-based venture capital firm Newfund has announced the closing of HEKA, a €60 million fund dedicated exclusively to BrainTech. This marks the first European fund of its kind, aiming to drive innovation in fields such as AI, digital therapeutics, advanced imaging, and BioTech focused on brain health.

Pioneering BrainTech in Europe

Newfund’s HEKA fund seeks to finance 25 technology startups that are at the forefront of brain health innovation. This initiative is a strategic response to the U.S.'s current dominance in global funding for BrainTech. Europe, with its world-class research centers, hospitals, and academic teams, holds immense untapped potential in neuroscience. However, historically, European innovations have struggled to scale due to funding limitations, often seeing their value realized across the Atlantic.

François Véron, Managing Partner of Newfund, highlights this challenge: “Many innovations born out of European research have struggled to scale up due to a lack of suitable funding, and a significant share of the value has been captured by the United States.”

The Growing BrainTech Landscape

HEKA’s launch comes amidst a wave of investments in BrainTech and related sectors like neuro-focused HealthTech and BioTech. Notable examples include France’s neuroClues, which raised €10 million for neurological disorder diagnostics, and Robeauté, securing €27.2 million for neurosurgery microrobots. The UK’s CoMind raised €85 million for non-invasive brain monitoring, and Austria’s nyra health expanded its digital neurotherapy platform with €20 million. Collectively, these investments highlight a growing interest and capital flow into the sector, totaling nearly €216 million.

Implications for Startups and Investors

For startups and investors, the HEKA fund represents a pivotal opportunity. Newfund, established in 2008, is known for backing early-stage companies with international ambitions. Its strategy involves investing in Seed rounds to catalyze global expansion and maintaining long-term support through follow-on investments. With €400 million in assets under management, Newfund is a significant player in the innovation ecosystem.

The data underscores the potential: in 2025, €3.5 billion was raised across Europe and the United States for BrainTech, with the U.S. capturing 85% of this funding. Yet, the momentum is shifting. In just the first quarter of 2026, €2.3 billion has been raised, marking a 256% growth compared to the same period in 2025.

Anne-Sophie Saint-Martin, Partner at Newfund, emphasizes the fund’s dual focus: “We invest in projects where scientific rigor and commercial ambition reinforce each other. HEKA is an ecosystem being built around the best European BrainTech entrepreneurs, whom we support step by step in their US expansion.”

Building Bridges Across the Atlantic

HEKA aims to bridge the gap between Europe and the United States, supporting startups in their international growth strategies. The fund leverages Newfund’s robust presence in the U.S., with an office in Palo Alto and a network cultivated over two decades. The fund’s investments in AI-based solutions promise transformative impacts on the care pathway, from disease detection to treatment.

Since its inception, HEKA has evaluated over 900 BrainTech startups, met with 550 entrepreneurs, and invested in nine companies making strides in clinical and industrial settings. Collaborations with leading hospitals and universities have resulted in several FDA-cleared solutions already deployed in real-world scenarios.

Conclusion

The closing of the HEKA fund by Newfund is a landmark development for European BrainTech, signaling a new era of innovation and collaboration. As these startups grow and expand internationally, the potential for groundbreaking advancements in brain health is immense. For entrepreneurs and investors alike, HEKA represents both a challenge and an opportunity to redefine the landscape of brain-related technologies.

Source: EU-Startups