Munich’s Yttrium closes new fund at over €400 million

Munich-based VC firm Yttrium, formerly known as Digital+ Partners has closed its second growth fund at €403 million. The firm intends to remain true to the first iteration of the fund (which closed at €349 million in July 2018) and will continue supporting European B2B software and technology companies. According to the firm, a particular emphasis is placed on those operating in the industrial and financial sectors.

Ticket sizes will range up to €50 million, including follow-on rounds, and is looking for, "companies with ambitious management teams, differentiated and scalable technology platforms, recurring revenues of more than 5 million euros with a growth of more than 40%, and a capital-efficient business model with a clear path to profitability.”

In addition to capital, and as is only de rigueur, Yttrium is further supporting its portfolio companies with working know-how from its established network of entrepreneurs and industry veterans.

Seven investments worth more than €125 million have already been made via the new fund and include Finsemble, Seven Senders, Platform.sh, and Hey Jobs.

Yttrium’s second growth fund is backed by a number of European and American institutional investors, including both technology companies and family offices that place a particular emphasis on the technology sector investments. The firm also notes that an unnamed corporate VC is also supporting the new fund.

Including Yttrium’s new fund, the firm has over €735 million under management.

“Europe has an outstanding technology ecosystem for a B2B technology growth fund with its strong companies, high levels of research spending, and innovative research alliances," commented Yttrium Founding Partner Patrick Beitel. "We want to seize growth opportunities within Europe’s outstanding B2B ecosystem for promising technology companies and for our investors.”