Lovable Secures $400m in Funding Backed by EU's Scaleup Fund

## Lovable Raises $400m in Funding at $13.3bn Valuation Lovable, a Stockholm-based vibe-coding platform, has secured $400m in funding at a $13.3bn valuation. The investment was led by existing investor Menlo Ventures and the Scaleup Fund, managed by Swedish investment firm EQT. This recent raise brings the total funding for Lovable to a significant amount, following two rounds last year: a $200m Series A in June and a $330m Series B in December, which gave the company a $6.6bn valuation. ## Lovable's Business Model and Future Plans Lovable's platform helps users build apps and websites without needing to know how to code. The company has seen significant growth, hitting $500m in ARR (annual recurring revenue) in June. A pitch deck seen by Sifted at the end of last year showed the company targeting a 65% margin by the second half of 2026. The EU's Scaleup Fund, which invested in Lovable, was set up to address Europe's longstanding lack of late-stage capital. The fund's mandate includes backing growth-stage companies working in strategic sectors to bolster European sovereignty. ## Lovable's Use of AI and Future Plans Lovable falls within the "application layer" AI camp, according to EQT partner Victor Englesson. This means that the company is developing use cases for AI rather than developing the models themselves. Lovable's founder, Anton Osika, has stated that the most important part of this raise is the accountability it brings. He has also emphasized the importance of prioritizing model training, product geniuses, infrastructure tinkerers, and security. With this significant investment, Lovable is likely to continue growing and expanding its platform, potentially leading to new innovations in the field of AI and vibe-coding.