Private Equity News & Analysis

TVM closes fund 50 per cent below target

Techno Venture Management has taken its total fundraising beyond the E1bn mark with the E128m final closing of its fifth fund targeting IT investments.

By
PEI Staff
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Techno Venture Management, the US-German venture capital fund, has held a final close on its fifth venture capital fund, TVM V Information Technology, at E128m.

The close, which takes the firm’s total fundraising through the E1bn barrier, is way below the original target of E250m for the fund, although it is comparable to the fourth fund, which raised E150m to IT investments.

 

“Given the changing environment for venture capital investing, we decided to reduce the targeted fund size rather than shift from our strategy of investing in early-stage German and US companies,” said Friedrich Bornikoel, managing partner at TVM.

 

The TVM V Information Technology fund aims to make between 15 and 20 investments in early stage companies over the next three years. As with previous funds, TVM V will target investments both in Europe and the US.

 

'We are more than satisfied with what we have achieved in this demanding funding environment. We have retained the support of many long-standing investors and we have attracted several new investors,' said Bornikoel. Previous investors in TVM funds include Adveq, Allianz Group, GE Capital and UBS.