Technology

Posted on April 3, 2019 by staff

€100m start-up fund is ‘gateway into Silicon Valley’

Technology

Early-stage VC fund byFounders has launched its initial fund of €100 million to support the next generation of Nordic and Baltic tech start-ups to successfully scale up and expand globally.

The fund is backed by an impressive collective of founders who created some of the region’s most renowned companies including Skype, Zendesk, Kahoot, Unity, Tradeshift, Sitecore and Vivino.

It says its portfolio companies benefit from access to deep industry and operational knowledge as well as an extensive global network and a gateway into Silicon Valley.

“byFounders provides early-stage founders with unrivalled access to knowledge, expertise and insight from some of the most successful Nordic entrepreneurs,” said Morten Primdahl, co-founder of Zendesk.

“The support and operational guidance available from such a broad group is unique, and has the potential to play a major factor in the success of the next generation of start-ups from the region.”

Founded by Eric Lagier and Tommy Andersen – successful founders and veterans of the global start-up scene – byFounders has created this initial fund of €100m through its collective and a powerful constellation of investors.

The largest investor is the Danish Growth Fund, one of the most active funds in the Nordics region. byFounders also gained significant support from global funds, including Isomer Capital, Draper Esprit, Digital Garage, as well as Danske Bank and a number of prominent family businesses from the Nordics.

byFounders, which has offices in both Copenhagen and San Francisco, is well-positioned to support the next generation of globally ambitious start-ups through several rounds, but says its sweet spot is seed and occasionally Series A rounds.

“It’s natural for every tech ecosystem to compare itself to Silicon Valley but the Nordics has established itself as a true birthplace for unicorns and high-growth companies with numerous billion dollar exits,” said managing partner Tommy Andersen.

“The region can and will compete with any other place in the world when it comes to fostering and growing companies, and I believe the opportunity for large exits will only increase over time.”

byFounders’ cross-Atlantic presence has already helped AI healthcare innovator, Corti, digital nomad insurance company SafetyWing and penetration testing software Cobalt break into Silicon Valley.