#HTSB_update 07 2023
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#HTSB_update 07 2023

1. EVENTS 2. VENTURE NEWS 3. INVESTOR NEWS 4. INTERESTING READS 5. JOBS

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1. E V E N T S

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Thingkathon – DMG „Smart Tourism Solutions“




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HUB:DISRUPT

The Tech Event for Co-Innovation in Industry 4.0



2. V E N T U R E N E W S

  • Neura Robotics, a Metzingen, Germany-based AI and robotics startup, raised $55M in funding. The round was led by Lingotto, Vsquared Ventures, Primepulse and HV Capital. The company intends to use the funds to boost its leadership in cognitive robotics and drive international expansion into the U.S. and Japan.
  • Switzerland-based car-subscription service Carvolution will receive CHF24 million ($27.9 million U.S.) of financing from Zuger Ka AntonalBank, a cantonal lender based in the country.
  • Netcraft, a Bath, UK-based company which specializes in cybercrime detection, disruption, and takedowns, raised over $100M in its first funding. Spectrum Equity made the investment. The company intends to use the funds to accelerate its plans to drive growth and expand globally.
  • Tractable AI, a London, UK-based company which specializes in artificial intelligence (AI) using computer vision to assess the condition of cars and homes, raised $65M in Series E funding. The round was led by SoftBank Vision Fund 2 with participation from existing investors Insight Partners and Georgian. As part of the transaction, Nahoko Hoshino, Investment Director for SoftBank Investment Advisers, will join the Tractable board. The company intends to use the funds to accelerate its expansion across the auto and property ecosystems to apply AI to cars and homes that need to be repaired, protected, recycled or sold.
  • Sensorfact, an Utrecht, Netherlands-based provider of a platform for manufacturers to improve their resource efficiency, raised €25M in funding. The round was led by Blume Equity, with participation from existing investors FORWARD.one, Korys, and SET Ventures. The company intends to use the funds to enter new markets and optimize its current product suite, expanding the range of resource categories measured to serve industrial businesses on a global scale.
  • The Oater, a Cologne, Germany-based foodtech startup, raised a seven-figure euro pre-seed funding. The round was led by Rüdiger Koppelmann, CEO of SodaStream. The company intends to use the funds to produce the oat drink machines and enter the market. 
  • constellr, a Freiburg, Germany- and Brussels, and Liege, Belgium-based provider of smart farming services for the agricultural sector, raised a Seed funding of undisclosed amount. The round, which brought the total amount of the Seed to €17M, was led by Karista with participation from Einstein Industries Ventures and existing investors FTTF, Lakestar, Vsquared, Amathaon Capital, Natural Ventures, OHB Ventures and EIT Food.
  • Béa Fertility, a London, UK-based fertility tech startup making clinical-grade fertility care available at home, raised $3.2m in funding. The round, which brought total funding to date to $4.2m, was led by Octopus Ventures and joined by JamJar and Forward Partners, with additional participation from existing investors Calm/Storm and Q Ventures. 
  • Phrase, a Prague, Czech Republic-based cloud localisation software provider, raised €12M Debt Financing. CIBC Innovation Banking provided the financing. The company intends to use the funds to further develop its AI-driven language technology.
  • Leaf Space, SpA, a Lomazzo, Italy-based provider of ground segment services for satellite operators, completed a capital increase for a total of €20m . The round was led by CDP Venture Capital Sgr (through Fondo Evoluzione) and Neva Sgr, alongside SIMEST (through the Single Venture Capital Fund) and Digital Transition Fund – part of the CDP S.p.A. group, with participation from existing shareholders RedSeed Ventures, Primo Space, and Whysol Investments. In addition, the European Investment Bank (EIB) has committed an additional €15m in venture debt.          
  • Easyrain, a Rivoli, Italy-based developer of active safety system to counter aquaplaning on roads, raised €5.8m in funding. Backers included ≥Indaco Ventures Partners, Progress Tech Transfer, Equiter (through the RIF-T vehicle) and LIFTT. This new funding round is the third since Easyrain’s foundation, totaling €15.8m.
  • Wooptix, a Tenerife and Madrid, Spain- and San Francisco, CA-based company which specializes in semiconductor metrology equipment incorporating wavefront phase imaging, raised €10M in Series B funding. Backers included Bullnet Capital, Danobatgroup, European Innovation Council Fund (EIC), Fagor Automation, Intel Capital and Mondragón Promotion Fund.
  • Xterio, a Zug, Switzerland-based company that develops and distributes Web2 and Web3 games and interactive entertainment, raised $15M in funding. The round was led by Binance Labs. The company intends to use the funds to further game and tech development, including integration of AI, and the launch of its tokens. Led by Michael Tong, co-founder, Xterio is a Web3 game platform and publisher bridging free-to-play and on-chain gaming with in-house and third-party games currently in development.
  • Verity, a Zürich, Switzerland-based autonomous indoor drone company, raised additional $11M in Series B funding. The round was led by A.P. Moller Holding, with participation from Qualcomm Ventures, Exor Ventures, Fontinalis Partners, Airbus Ventures, Sony Innovation Fund, ROBO Global Ventures and Verve Ventures. The company intends to use the funds to expand its business reach to provide its clients with data-driven intelligence and inventory management solutions powered by self-flying drones.
  • Norway-based FREYR, a developer of clean, next-generation battery cells, announced on Thursday, July 13, that it has received a €100M grant from the European Union to develop its Giga Arctic project in Norway. The grant is supported by the EU’s Innovation Fund (EUIF) as part of the EU’s efforts to boost localised battery manufacturing.
  • PVcase, a Vilnius, Lithuania-based provider of solar project design software, secured a joint investment of $100m. The round, which brought total funding to over $123m, was led by Highland Europe, Energize and existing investor Elephant. The company intends to use the funds to continue to expand operations and develop its software solution.
  • Aphea.Bio, a Gent, Belgium-based agricultural technology company, raised €70M in Series C funding. The round was led by Innovation Industries, joined by Korys Investments and supported by Bill & Melinda Gates Foundation, SFPIM, BNP Paribas Fortis, and returning investors ECBF, Astanor, AIF as well as other existing shareholders.
  • Tenpoint Therapeutics, a Cambridge, UK-based biotechnology company pursuing vision-restoring engineered cell-based therapeutics and in vivo reprogramming, raised $70M in Series A funding. Backers included British Patient Capital, F-Prime Capital, Sofinnova Partners, Qiming Venture Partners USA, Eight Roads and the UCL Technology Fund, among others.
  • Causaly, a London, UK- and Athens, Greece-based provider of an AI platform for biomedical research, raised $60M in Series B funding. The round, which brought the total amount to $93M, was led by ICONIQ Growth, with participation from Index Ventures, Marathon Venture Capital, EBRD, Pentech Ventures and Visionaries Club. Strategic individuals also participated in the round, including Alex Gorsky (former Chairman and CEO of Johnson & Johnson) and Olivier Pomel (CEO and Co-Founder of Datadog). In conjunction with the funding, Caroline Xie, general partner at ICONIQ Growth,, joined Causaly’s board of directors.
  • Rocsys refuels with €33 million to bring autonomous charging to EV charge points. The round was led by SEB Greentech Venture Capital, and includes Graduate Entrepreneur, the European Investment Bank, and returning investor Forward.One.
  • QuoIntelligence, a Frankfurt, Germany-based provider of threat intelligence solutions, raised €5m in Seed financing. The round was led by eCapital Entrepreneurial Partners with participation from private investors. The company intends to use the funds to expand the team, enhance products and services, and increase its market reach.
  • PlastFormance GmbH, a Teisendorf, Germany-based materials startup, raised a seven-figure second funding round. High-Tech Gründerfonds is investing with its newly launched HTGF IV fund together with ICIG Ventures Holding S.A. and Jobest GmbH. The company intends to use the funds to drive further growth, scale up production capacity at its site in Berchtesgadener Land, Bavaria, strengthen the team, and promote material development for additional application areas.
  • Vertama, a Berlin, Germany-based startup that digitises medical reporting processes in the hospital environment, raised a seed funding round of undisclosed amount. The round was led by High-Tech Gründerfonds (HTGF), Berlin Angel Fund and renowned business angels. The company intends to use the funds to continue to expand operations and its business reach.
  • Dryad Networks, a Berlin, Germany-based startup that provides wildfire detection through large scale IoT networks and sensors, received an investment from Telus Pollinator. The amount of the deal was not disclosed. The company intends to use the funds to further scale in the US and into Canada.
  • Group14 Technologies, a Woodinville, WA-based global manufacturer and supplier of advanced silicon battery technology, acquired Schmid Silicon Technology Holding GmbH, a Spreetal, Germany-based silane producer. The amount of the deal was not disclosed. The acquisition will support Group 14’s European operations, with plans to open its first offices in Germany. As part of the deal, the company plans to retain and integrate all current Schmid Silicon employees while also offering training to transition additional hires from traditional energy sectors into clean energy. Once the factory is online and operational, Group14 expects to grow its headcount as much as 5x.
  • Isometric, a London, UK-based provider of a carbon removal registry and science platform, raised $25M in Seed funding. The round saw participation from Lowercarbon Capital and Plural with participation from angel investors Niklas Zennström (founder of Skype), David Helgason (founder of Unity Technologies), Ross Mason (founder of MuleSoft) and Ilkka Paananen (founder of Supercell). In conjunction with the funding, Lowercarbon Capital’s Ryan Orbuch has joined Isometric’s board.
  • Microoled, a Grenoble, France-based manufacturer of OLED microdisplays, raised €21M in funding. The round was led by Jolt Capital, Bpifrance via its Innovation Defense Fund, Cipio Partners and Ventech. The company intends to use the funds to finance the development of the next range of full colour, high luminance OLED solutions, to expand manufacturing capabilities in Grenoble, and to grow international sales teams in the security segment and the B2B ActiveLook platform model.
  • Sonio, a Paris, France-based prenatal care company, raised $14M in Series A funding. Backers included Cross-Border Impact Ventures, European Innovation Council and SMEs Executive Agency (EISMEA), Elaia, OneRagtime, Bpifrance, and business angels.
  • Bluu Seafood, a Berlin, Germany-based biotech producing cultivated fish, raised EUR 16M in Series A funding. The round, which brought the total amount to $23M, was led by Sparkfood and LBBW VC. Other investors included SeaX Ventures, Manta Ray Ventures, Norrsken VC, Delivery Hero, and Innovationsstarter Fonds Hamburg GmbH.
  • Carthera, a Lyon and Paris, France-based developer of an ultrasound-based medical device, raised €37.5M in Series B funding. The round was led by an undisclosed investor, alongside the European Innovation Council Fund (EICF), Panakès Partners, Relyens Innovation Santé (Turenne Santé) and Supernova Invest with its Supernova 2 fund.
  • Gleamer, a Paris, France-based manufacturer of AI-powered solutions for medical imaging, raised €27M in Series B funding. The round, which brought the total amount to $36M, was led by Supernova Invest, and Heal Capital, with participation from XAnge, Elaia, Bpifrance via the funds Digital Venture and F3A from France 2030, MACSF, Crista Galli Ventures, and UI Investissement, as well as European radiologists.
  • Delft-based VSParticle raises €14.5 million to unlock a century of material innovation with nanoparticles
  • Resistant AI, a Prague, Czech Republic-based artificial intelligence (AI) and machine learning security company, raised additional $11M in Series A funding. The round, which brought the total amount to $27.6M, was led by Notion Capital. This was in addition to existing funding from investors including GV, Index Ventures, Credo Ventures and Seedcamp. The company intends to use the funds to expand its product, team, and geographical presence.

3. I N V E S T O R S N E W S

KKA Partners, a Berlin, Germany-based private equity firm that invests in DACH based SME companies, growing enterprises through technology enablement, closed on €230m in external commitments for its Fund II.

The Fund received support from both Fund I investors and new institutional investors from both Europe and the US. Commitments came from a diverse group of institutional investors, including endowment funds, pension funds, insurance companies and large family offices, as well as entrepreneurs.

Founded in 2018 by Dominic Faber, Patrick Feller and Kaspar Hartmann, KKA is focused on primary buy-outs in the DACH Region, namely Germany, Austria and Switzerland, driving growth and value creation through the technology enablement of small and medium sized companies.


Global tech investor Insight Partners has raised $118 million in its second 20/20 Vision Capital fund that aims to invest in venture capital funds led by diverse managers, the firm told Reuters.

This new fund expands a strategy Insight first started in 2020, after its own employees pledged $15 million of their personal capital to diverse early-stage fund managers.

Like the first fund, which has deployed capital to 14 VC funds led by women, Black, Latinx or LGBTQ managers, Vision Capital II will continue to write single-digit million checks backing managers and provide follow-up capital for their second fund.


RTP Global goes big with new $1 billion fund

Since 2000, RTP Global has backed over 110 companies and is now back for round four with $660 million earmarked for new investments, and $340 million for follow-ons.


Milan-based United Ventures, an independent venture capital firm, announced that it has launched United Ventures III, a €150M fund for sustainable digitisation through tech-enabled solutions.

With a mission to fuel innovation and sustainability, United Ventures III will invest in 15 to 18 early-stage European technology companies. Its initial investment tickets will range from €1 to €8 million, targeting ventures that pioneer cutting-edge technology solutions.


Amsterdam-based Karmijn Kapitaal, a private equity and venture capital firm that specialises in growth capital, late-stage, management buyouts and buy-ins, announced on Tuesday that it has raised €15M from the European Investment Fund (EIF). 


Flora Ventures, a Tel Aviv, Israel-based AgriFood venture capital firm, announced the launch of an $80M fund, and the first closing with commitments of $50M.

The firm completed the initial raise with strategic partners including Sadot Kibbutzim, a co-op bringing together more than 185 Kibbutzim with an agricultural output of +$3B exported to over 100 countries. They offer the fund’s portfolio proprietary access to agricultural land, production capabilities and expertise for initial proof of concept and ability to scale their technologies. Other anchor investors in this first closing are Family Offices and, Haifa Group, a world leader in plant nutrition and special fertilizers, and Harel Group, Israel’s largest insurance and finance group with more than $100B assets under management (AUM).

Co-founded by Gil Horsky, former Mondelēz executive, corporate venture investor, and leading figure in the global AgriFood ecosystem, and Esther Barak-Landes, VC investor and co-founder of Nielsen’s incubator and investment arm, Flora Ventures invests in early-stage startups from the AgriFood ecosystems of Israel and Europe.

 

TLV Partners, a Tel Aviv, Israel-based venture capital firm, launched its $250m Fund V.

TLV Partners has earned the backing of distinguished American institutions, comprising University Endowments, Fund of Funds and other US investment entities.

The fund will focus on investing in early-stage startups founded by Israeli entrepreneurs, focusing on sectors such as developer tools, AI, cybersecurity, fintech, biotech, and more.

Positioned to make roughly 25 Seed and Series A investments, Fund V anticipates initial contributions of between $4-8m. With the capability to back subsequent rounds, it could invest as much as $20m per company.

Led by Eitan Bek, Rona Segev, Shahar Tzafrir, and Adi Yarel Toledano, complemented by Yonatan Mandelbaum, Brian Sack, and Bar Dor, The firm has invested in 60 companies including Aqua Security, Next Insurance, Aidoc, Run:ai, Silverfort, Quantum Machines, Unit, Immunai, Deepcure, Buildots, Zencity, Firebolt, Mesh, Laminar, Oligo Security, and Port.


BioGeneration Ventures (BGV), a Naarden, The Netherlands-based early-stage VC in European biopharma, closed BGV V, at €150m.

LPs included US institutional investors and corporate investors including Eli Lilly and Company, Novo Holdings and Bristol Myers Squibb. The Fund V also received an investment from the European Investment Fund, notably as part of the Venture Centre of Excellence initiative supported by the Health Compartment of the Sustainable Development Umbrella Fund, with the financial backing of the European Union under the European Fund for Strategic Investments (“EFSI”) set up under the Investment Plan for Europe.


4. I N T E R E S T I N G R E A D S

  • Europe’s strategy to boost its computer chip industry and compete with Asia gets final approval
  • EY Startup-Barometer: Significant damper on the German startup scene: Compared with the first half of 2022, the total volume of investments in the first six months of this year fell by 49 percent to EUR 3.1 billion. This is mainly due to the fact that fewer large deals were concluded: While there were 15 deals worth more than EUR 100 million in the first half of 2022, there were only five investments in this category in the first six months of this year. Deals worth more than EUR 50 million to EUR 100 million each also halved, from twelve in the first half of 2022 to six in the first six months of this year. The number of deals was also lower in this half-year: after 549 deals in the same period last year, there were only 447 in the first half of 2023, a drop of 19 percent. Nevertheless, the downward trend that began in November of last year was halted in the spring of this year, and there are signs of stabilization in the market - both in terms of the number and value of investments. Nevertheless, the amount of investment in 13 of the 15 sectors surveyed fell compared with the same period last year - the e-commerce and education sectors, on the other hand, recorded an increase.
  • Following a slight spike last quarter, global venture funding in Q2'23 falls to its lowest level since 2020. Global venture dollars reached $60.5B in Q2’23. That marked a 13% decline from Q1’23’s $69.7B, which was buoyed by massive, multi-billion-dollar deals to OpenAI and Stripe. Without these Q1 deals, Q2’23 funding would have grown 14% QoQ. Deal count, on the other hand, has continually fallen since the start of 2022. It dropped for the fifth consecutive quarter to reach 6,385 in Q2’23 — the lowest count since 2016. Using CB Insights data, we highlight key takeaways from our State of Venture Q2’23 Report, including:

  1. Global venture funding drops 13% QoQ, hitting its lowest level since Q2’20.
  2. US venture funding falls to $31.3B in Q2’23, a 27% decline QoQ .
  3. The global IPO market reawakens, with public debuts experiencing a 17% QoQ jump in Q2’23.
  4. New unicorn births jump 20% in Q2’23 after hitting a 6-year low in Q1’23.
  5. Fintech funding falls 48% QoQ in Q2’23 — more than any other sector.


  • Sharp decline in initial financing in the VC market The ratio of first-time financings to follow-on financings in the VC market turned around in Q1 2023. Whereas the most recent figure was 57% initial financing, the share is now only one-third. This is reported by the KfW VC Dashboard. At the same time, the total number of financing rounds has fallen by 8% to 254, while the total volume has increased by 15% to EUR 1.9 billion. This seems to confirm fears that it is becoming more difficult for startups to obtain initial financing. Although figures for the business angels market are not yet available, many angels appear to be focusing on continuing to finance their portfolio startups and deferring investments in new startups.
  • Deeptech startup founders can now apply to use CERN’s world-famous technologies The European Organisation for Nuclear Research, known as CERN, is opening access to some of its cutting-edge technologies to selected deeptech startups as part of a new programme dubbed CERN Venture Connect (CVC). The research institute has developed incredibly sophisticated research tools, and is hoping that these technologies can be re-used to build real-world business applications in fields ranging from healthcare to quantum computing. For now, CERN is sharing five technologies with founders, including laser technologies, cryogenics, data management tools and precision-synchronisation instruments. But the organisation is planning to open access to more as the programme expands. 
  • Venture Capital — We’re Still Not Normal by David Coats from Correlation Ventures here, sharing a new analysis based on data from 2013-2022 on the VC power law distribution
  • Apple launches dev kit program for the Vision ProKPMG to invest $2 billion in AI in expanded partnership with Microsoft
  • KPMG and Microsoft have announced an expanded global collaboration aimed at enhancing professional services through workforce modernization, secure development and artificial intelligence (AI) solutions. This new multi-year alliance seeks to streamline KPMG’s client engagement across the audit, tax and advisory sectors. As part of the initiative, KPMG has pledged a $2 billion investment in Microsoft Cloud and AI services over the next five years. This is anticipated to unlock a potential incremental growth opportunity of over $12 billion for KPMG.

5. J O B S

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