Norrsken unveils €320M for "impact entrepreneurs"

Norrsken VC has closed a €320m round to support “impact entrepreneurs”. The finalised total puts the fund among other European giants.

The fund has strict criteria linked to UN Sustainable Development Goals which assess impact and sustainability across the entire investment process, from deal screening, and due diligence to deal structuring and exit. Norrsken VC also complies with the EU’s Sustainable Financial Disclosures regulation as an Article 9 or “dark green” fund, meaning that 100 percent of investments have a clear environmental or social impact objective.

Sectors Norrsken VC invests in include climate tech, energy, biotech AI and health tech. The portfolio today includes impact unicorns Northvolt, Einride and 1KOMMA5°, and this second fund has been designated for over 30 startup investments.

With an original target of 250m, the fund is backed by Folksam, AP1 and the European Investment Fund (EIF, whose commitment is supported under InvestEU), among others. 

Norrsken VC runs as an independent investment firm from the Norrsken Foundation and was established by the four general partners David Frykman (ex. Gymgrossisten), Tove Larsson (Bain & Company), Agate Freimane (Morgan Stanley) and Niklas Adalberth (co-founder of payment services unicorn Klarna). The rest of the 15-strong Norrsken VC comprises life-long investors across venture capital, private equity and investment banking, plus startup operators. The team is predominantly Sweden-based but with a global investment thesis.

Niklas Adalberth, General Partner of the fund, commented: “Our long-term vision is to see every dollar invested globally as a net positive for people and planet. With Norrsken VC II we aim to find, back and empower force of nature founders, and set them on a path to build impact unicorns - companies that positively impact 1 billion lives."

General Partner Tove Larsson said: “While more funds have joined the sector since our inception, it remains relatively uncrowded, with less than 1% of global capital dedicated to impact investments. Urgency is evident as we've exceeded six of nine Planetary Boundaries, underscoring the need for investments in innovations for a more habitable world. We've openly shared our investment philosophy, urging fellow impact investors to adopt it and thrive. With our second fund, we’re committed to finding the best impact founders in the DACH region.”