Vanagon Ventures, a German deeptech venture capital firm, has reached the final close of its €20 million Fund I. The fund is backed by Allocator One, alongside additional limited partners including family offices and high-net-worth individuals, senior technology executives from companies such as Apple and Google, and unicorn founders from the Munich ecosystem. Vanagon Ventures is further supported by the law firms Orbit and Bird & Bird and fund administrator ACE Alternatives.
Based in Munich, the fund focuses on backing B2B startups at the pre-seed stage that address system-level challenges and develop new categories enabled by AI and deeptech. Vanagon Ventures was established to support companies that follow development paths beyond traditional software-as-a-service models, targeting founders with deep domain expertise in established industries who apply advanced technologies to re-architect these systems from the ground up.
The strategy addresses a gap in early-stage venture capital, particularly at the pre-seed level, where AI-native and deeptech companies with significant long-term economic potential often require different scaling approaches than conventional software businesses.
Vanagon typically invests up to €500,000 initially in teams developing technologies that contribute to Europe’s sovereignty and sustainability, with a focus on areas such as spatial and artificial intelligence, quantum computing, robotics, and frontier software addressing large, long-term markets.
AI changes everything – also VC investing: the steepest value creation is shifting to the earliest stages, our sweet spot. Yet many VCs shy away from pre-seed as they still rely on SaaS playbooks that don’t fit the scaling logic of DeepTech and AI-native disruption in B2B,
said Susanne Fromm, General Partner at Vanagon Ventures.
Vanagon Ventures is managed by three General Partners, Axel Roitzsch, Sandro Stark, and Susanne Fromm, who bring combined experience in venture investing and technology-driven transformation across multiple industries.
The fund frequently acts as a first institutional or lead investor, supporting portfolio companies with follow-on fundraising through its network and providing hands-on support in areas such as round structuring, go-to-market strategy, and customer access.
Fund I is targeting a portfolio of approximately 30 companies and has already invested in several early-stage businesses positioned as category builders, including Holy Technologies, ExoMatter, and The Landbanking Group.
Additional investments span areas such as glass-based data storage for long-term, sustainable archiving, AI-powered visual inspection for manufacturing quality control, and AI-driven demand forecasting for the chemical and textile industries.
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