London-based Balderton Capital is announcing a new $375 million fund for New Startups
VC money, one of those worst-kept secrets in European VC, London-based Balderton Capital is currently announcing a new $ 375 million fund.
In reality, even though the firm now has a decent number of funds, this is business as usual for Balderton. The new fund-the firms sixth-will aim startups anywhere in Europe at Series A point, to following one, in addition, together with the seed deal or Series B investment.
In terms of LPs, the VC is not disclosing any individual titles, including whether or not any European Investment Fund (EIF) or taxpayer’s cash that made it to the British Business Bank. The addition of a small number of Asia-based LPs is different from its previous fund, whereas the Europe and U.S. portion are split 60/40.
Presumably part of its own pitch deck to LPs, Balderton says the continent’s technology sector has reached a pivotal moment, in which a “significant mass of fast-growing businesses, aspiring entrepreneurs, top-tier technical talent, and accessibility to multi-stage investment means that Europe’s next international giant is set to be a tech company”. This could see Europe generate a tech company to rival Silicon Valley.
“As European startups grow bigger faster, we are convinced that it’s finally about to change. With growth accelerating this year so far European companies have attracted over $12.5bn of venture investments the continent is now able to scale and produce technology businesses of international significance”.
Meanwhile, the Balderton fund saw investing in what it claims is a range of category leaders, such as Revolution, fitness Nutmeg, and Prodigy Finance. Others investments from the fund comprise Frontier Car Group, Carwow, and Aircall.
In a telephone with Balderton Partner Suranga Chandratillake, he stated the VC will still continue to perform a couple of investments in fintech, while AI something that the U.K. and Europe excels at will be a strong focus going forward. “Both for extremely complex, unique problems that will require real basic AI development to really make progress and implemented AI”. One example of the latter is Balderton portfolio firm Comply Advantage which uses AI to automate compliance for banks and other financial services firms.
Another place that Balderton Capital proceeds to eye upward and also one where Chandratillake are enthused about are games, which, again plays to the strengths of Europe. “If you examine the history of games, Europe has historically outperformed the rest of the planet and I think that it will still do this,” he states.
“The number of time individuals spends on matches, the number of platforms on which games could be played, the willingness of these platforms; all of these tendencies are incredibly positive. Long, long-term, things such as AI and the simple fact that more and more of us will have more and sparer time, things like games in the broadest possible sense become quite important for humankind”.
