A venture capital firm, Capmont Technology, raises a huge amount of 100 million euros
Munich, Germany-originating venture capital firm Capmont Technology has successfully raised its first fund of 100 million euros. The primary motive of the company is to invest this fund in business-to-business (B2B) newly formed tech start-ups. This investment will provide support to the emerging tech companies across the entire Europe and United States during their initial phase of the operation.
Basically, the firm`s initial name was DI Technology, and later they adopted the name Capmont Technology, and this firm has been operating since the year 2016. So, this new 100 million euro fund is the first official fund of the firm, but this firm has a previous record of investing in start-ups. So, basically, the firm uses individual investment in start-ups on a deal-by-deal basis without using any kind of official funds. Their primary targeted sectors are SaaS (software as a service) and industrial tech, and in areas such as robotics, automation of the industrial sector, manufacturing units, the Internet of Things (IOT), chain supply, and procurement of technologies.
The portfolio of Capmont Technologies
The portfolio of Capmont Technologies includes companies such as Konux, Pro Glove, and Nordic Capital, where Konux leverages artificial intelligence (AI) to optimise railway operations, in which it anticipates what is necessary for the smooth railway function. So, on the other hand, the Pro Glove Company deals with designing the smart gloves for the logistics and manufacturing unit.
This firm is based on the Internet of Things, while this company was privately acquired by a firm, namely Nordic Capital, in the year 2022, but the financial reports of the acquisition are yet to be disclosed by the firm. It is seen that since the formation of Capmont Technology and till today it has a total fund of 300 million euros where the 100 million euros of fund is also included, which indicates the firm`s commitment towards its investments in innovative B2B tech-based companies, basically in sectors like AI and IOT.
Investments and Finance
Capmont Technology has now completely focused on their investments in the start-ups during the late seed stage with a round of Series B funding. These start-ups are those who have successfully completed the stage where they have to demonstrate the strong market footing and customer demand and have to prove that their business model has potential for growth. Capmont is planning to invest in 15 to 16 start-ups, which cost around 2–5 million euros per investment, and these investments are completely funded through the newly raised fund of 100 million euros. This kind of step will allow the firm to consider companies that are hovering for scaling and give them optimum support for their growth with capital and resources.
Capmont Technology and its Future Plans
Dr. Torsten Kreindl, who is a managing partner of the firm, has ensured that the Capmont firm is always ready with its capital to provide support to its high-performing companies as they grow, while Capmont Technology is currently planning to reserve 40 percent of its 100 million euros of fund for further investments, which will provide supportive hands to the start-ups that are profitable and have the potential to grow further. In addition, the firm has successfully obtained soft commitments from its limited partners (LPs), allowing it to co-invest in the larger form of later funding rounds despite the current fund allocation.
Capmont Technology has made a total of seven investments till now from its newly risen fund, which includes companies such as Celcus, a designing-based platform that offers designs related to electrical and component suppliers, and Arch Systems, which provides an industry-based 4.0 machine data and artificial platforms for the manufacturers of electronics and discrete. Dr. Torsten Kreindl emphasises that the firm’s primary focus is on providing prominent support to the companies that deal with AI to enhance the industrial mechanism. He also stated that Europe might become a prominent location for the establishment of these companies as it has a strong industrial customer base.
Finally,
The limited partners (LPs) of Capmont Technology`s newly risen fund of 100 million euros include a mixture of the institutional investments by their investors, family offices, and highly net-worth individuals. These LPs also consist of entrepreneurs and C-level executives based on enterprises, which are originally based on the DACH region, while this region is a group of Germany, Austria, and Switzerland. The decision of Capmont Technology is not to disclose any specific name, as the investors were anticipated to bring strategic insight and connections, which might be able to contribute to the success of the portfolio fund of the companies.
