New funds for German start-ups: The venture capitalist Yttrium, founded in 2015 under the name Digital + Partners, has completely filled its second fund and raised a total of 403 million euros, according to F.A.Z. information. The pot of money thus ends up in the largest dozen of German venture capital funds, according to a list compiled by the industry association BVK on request.

Klaus Max Smolka

Editor in business.

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The scene is likely to take this with goodwill, because German start-ups often complain about the risk aversion of domestic investors. Measured against the size of the economy, they provide little venture capital by international standards, i.e. capital for promising but at the same time risky projects. Yttrium has its eye on companies that have completed the initial start-up phase but are not yet too large, and sees itself as a link between the venture capital segment and the classic private equity business.

Already the second major fund

Soon after its founding, the venture capitalist launched the pioneering fund Digital Growth Fund I, made its first investments in 2017 and collected the last funds for it the following year, accumulating a total of 350 million euros. This made the fund one of the five largest venture capital funds in Germany to date.

Follow-up Fund II completed a first round of acquisitions in 2021 and has so far fed seven investments – including in cybersecurity, namely in the Munich-based provider FTAPI, which automates processes and encrypts data packets, such as incoming invoices and payslips in companies and patient data between hospitals and laboratories. This was followed by the "final closing" with the maximum amount.

Little noticed by the public, the company changed its name at the turn of the year and also opened an office in London, with the aim of advancing to become a European company. Yttrium provides up to EUR 50 million in equity per company, including follow-up financing rounds.