European HR Tech Fundings 02/2025

The second months in 2025 brought about a lower number in fundings than usual in the European #HRTech & #EdTech space. However, we noted two larger e-learning investments - a space that is expected to be impacted by AI. Also two AI Recruiting startups raised funding.

Next to the European list especially two major announcements in the US by Deel and Mercor are remarkable.

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?? Bethink (PL) raised a €5.9M in funding from TDJ for its e-learning product that combines technology, educational publishing, and direct learning experiences. Bethink will use the funds to expand its team, launch a platform for learning mathematics with other high school subjects?following in 2026, and strengthen its brands, with a focus on domestic growth and preparing for international expansion: https://www.vestbee.com/blog/articles/bethink-secures-5-9-m

?? HowNow (UK) announced the completion of its Series A round now closing at GBP7.5M. This is a follow-on to the GBP4M round in February 2023 from Mercia Ventures and Pearson now adding another GBP3.5M from those two investors and Fuel Ventures ?? . HowNow offers a skill-first learning solution and now serves customers in more than 30 countries: https://startupsmagazine.co.uk/article-hownow-closes-series-ps75m-scale-skills-first-learning

?? YourFinestOut (SE) raised a $1.6M pre-seed round from unknown investors at a $5M pre-money valuation for creating ethical intelligent systems that prioritize transparency, adaptability, and responsibility in AI. With the funding the startup plan to accelerate its mission to transform the Global AI Landscape: https://medium.com/@yourfinestout/yourfinestout-raises-1-5m-to-lead-ethical-ai-with-the-metaphorically-significant-framework-d48a35e1ce79

?? Alfa AI (UK) raised a $625k pre-seed round from Fuel Ventures ?? (lead VC) and various business angels for its intelligent AI Recruiter. Another venture to watch in the very vibrant conversational AI talent acquisition space: https://www.fuel.ventures/alfa-raises-to-build-their-ai-recruiter-agent

?? Prorizon (UK) raised a GBP400k pre-seed round from GC Angels (lead investor) and others for technology tackling the root causes of stress. The round will enable the business to scale up its efforts to offer the technology to professional sports teams: https://www.thebusinessdesk.com/northwest/news/2147825-angel-investors-help-start-up-secure-400k-funding-for-stress-busting-tech

?? Globally, some notable rounds include:

• The new anchor investor announcement ( General Catalyst and a sovereign investor have purchased close to $300 million in Deel secondaries from early investors) of Deel (US) and also communicating they have achieved a run-rate of $800M in December 2024 (70% yoy growth) - impressive! Details: https://www.deel.com/blog/deel-new-anchor-investors/
• Loxo (US) communicated a $115M growth investment led by Tritium Partners for its talent intelligence and recruiting platform. The plaform integrates an ATS, CRM as well as sourcing elements into one overall recruiting platform.
• Mercor 's (US) $100M Series B valuing the company at $2bn raises eyebrows. Existing investors Benchmark and General Catalyst, as well as DST Global and Menlo Ventures participated. The company was founded by three 21-year-old Thiel Fellows. The latest funding will help “accelerate its ability to match billions of people with their calling, applying human talent to its highest potential.”

Let me know if I overlooked something in the comments below! ??

Congrats to the startups, their teams and the founder including Dariusz Chrapek , Nelson Sivalingam , Simon Falk , Alfie Whattam , Claire Stewart FRSB , Brendan Foody , Alex Bouaziz , Dr. Jan Deepen , Matt Chambers and their teams as well as to the investors!

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