EUVC Newsletter | 20.01.2025
Welcome to our community-sourced newsletter featuring the latest submissions to the eu.vc insights platform — the platform that collects & amplifies the best long-form pieces from the EUVC community.
Click here to submit your own articles, events or projects 📥
Why it matters: This podcast episode unpacks how Speedinvest (€500M generalist fund) and OpenOcean (€150M AI/deep tech specialist fund) approach AI investments. Since foundational models are risky, they focus on scalable applications, AI infrastructure, and enterprise tools.
Hot takes include the rise of AI agents (automation v3.0), SME opportunities, and AI’s disruption in healthcare, enterprise, and content creation. For VCs, the message is clear: AI is moving fast, and only adaptive strategies and deep customer insights will keep investments relevant.
📝 Article | Variable compensation for VC-backed founders
by Borja Breña, Partner in Nauta. | Originally published on Nauta.
Why it matters: Founder compensation can make or break the alignment between VCs and leadership. Nauta champions variable pay tied to metrics like Net New Annualized Revenue (NNAR), incentivizing founders to focus on performance without sacrificing long-term growth.
Early-stage? Think milestone-driven bonuses. Later-stage? Link bonuses to revenue growth with clear formulas. This approach keeps founders ambitious yet realistic (no over-promising on budgets) and avoids perverse incentives like rewarding easy funding rounds. For VCs, structured comp plans = smoother board dynamics and sustainable scaling.
Escape for an extended weekend of adventure
Join us for a partners retreat packed with awe-inspiring treks, thrilling canyoning and river rafting, and inspiring sessions balanced with moments of reflection and exceptional dining. Be inspired by world record-holding polar explorer Ben Saunders, challenged by our ex-commander, and discover how to deepen focus in an introductory deep work session with Fred Destin.
📝 Article | Foundamental's 2024 in review: $698 million funding, 5 more profitable startups, one big IPO in preparation
Why it matters: Foundamental’s portfolio raised $698M in 2024, adding 3 new startups across 22 countries. 5 portfolio companies hit profitability at scale, including a logistics-tech firm with $200M ARR and a building materials manufacturer at $210M ARR. Infra.Market closed a $71M pre-IPO round (part of $160M raised overall) and plans to go public in 2025 after 2.4x profit growth to $43M.
Notable expansions include Brick & Bolt’s plan to enter 25 cities in India and Enter’s exclusive partnership with Engel & Völkers. For VCs, this underscores the massive potential in ConTech, AEC, and supply chain innovation globally.
✍🏻 EUVC Masterclass | VC Fund Performance Benchmarking
Benchmarking is more than just numbers - it’s a critical tool for GPs and LPs to measure performance, position funds effectively, and align with market expectations.
Join us for this 2-hour masterclass designed to demystify VC benchmarking and provide actionable insights to navigate key metrics like IRR, TVPI, DPI and PME.
Led by Joe Schorge, Managing Partner of Isomer Capital, this session will help you understand how LPs think, how benchmarks are created and - most importantly - how to use them to evaluate performance, communicate results, and position your fund confidently in the market.
🎙Podcast | Inven Capital’s Petr Mikovec on structuring a CVC with CEZ Group and the European Investment Bank
Why it matters: Inven Capital offers a playbook for balancing corporate strategy with financial returns. Their dual funding structure (with CEZ Group + EIB) and use of systemic coaching drive founder alignment, fast execution, and strategic growth. They even partner with competitors like Shell for exits.
With €9.2T/year needed globally to decarbonize by 2050, Inven’s strategy is a masterclass in leveraging CVCs for scalable impact while navigating energy transition challenges (high interest rates, grid issues, skilled labor shortages).
📝 Article | Reflecting on 2024
Why it matters: Eka Ventures reflected on their 2024 prediction. Wins included a growing focus on the circular economy, energy transition, and AI advancements. Portfolio highlights featured several companies making the 100 Startups to Watch list and continued strides in health, AI, and sustainability.
For VCs, this recap underscores the unpredictable yet rewarding nature of impact investing and the ongoing need to invest heavily in renewables, climate tech, and transformative AI solutions.
💬 EUVC Community | LP AMA with Christian Hjort Pedersen
Join us for an exclusive AMA session with Christian Hjort Pedersen, formerly VC Fund Investor at IIP Denmark.
Having allocated more than 600 M USD to top decile early-stage VC funds in US and Europe within tech and life sciences, Christian brings an understanding of the global venture markets and what it takes to build a true franchise better than most others.
This AMA is part of our ongoing series of small-group sessions designed to foster deep, meaningful discussions within the VC community. Reserve your spot now to ensure you don’t miss this opportunity. THIS EVENT IS FOR EUVC COMMUNITY MEMBERS ONLY.
📝 Article | 🇫🇷 The State of the French Tech Ecosystem 2024 - "A Tale of Two Cities"
Why it matters: French startups raised €7.1B in 2024 (+3% YoY) despite challenges, with AI driving 27% of total funding (+82% YoY). Paris solidified its status as Europe’s AI hub, fueled by top schools, government support, and 760+ AI startups, including unicorns like Mistral and Hugging Face.
Beyond AI, the French ecosystem faced tough times: 9 major bankruptcies, widespread down-rounds, and a 40% drop in unicorn valuations from the 2020–2022 cohort. Still, fintech, climate tech, and vertical SaaS showed resilience and exits like Lumapps (€600M) and BeReal (€500M) proved traditional sectors could thrive. For VCs, France remains a hotbed for AI, while other sectors need strategic focus and patience.
🎙Podcast | General Catalyst's Paula Wehmeyer on European tech & trends that are shaping the ecosystem
Why it matters: With $8B in fresh capital, General Catalyst is doubling down on Europe as a hub for the next wave of global AI leaders. They’re pushing beyond traditional VC by transforming startups and mid-cap industrials through applied AI to build global resilience—think supply chains, energy, and defense modernization.
Europe’s AI talent and industrial base are prime for this strategy despite challenges such as overregulation and market fragmentation. For VCs, this highlights a shift toward multi-sector tech innovation and the increasing overlap between VC and PE models.
✍🏻 EUVC Masterclass | Marketing Foundations for Fund Managers
Join us for an engaging workshop tailored for fund managers looking to institutionalise their marketing approach and craft a category-defining investment brand.
This masterclass is designed to go beyond traditional marketing advice on tactics to help you create lasting brand equity, ensuring your fund stands out in a competitive landscape.
This session will provide actionable insights into fund positioning, LP communications, and crafting compelling narratives - all while maximising time for Q&A to address your specific challenges.
📝 Article | Be Like Bamboo: Making Your Moves in Shadows and Silence
Why it matters: Bamboo spends 5 years underground building roots before exploding to 90 feet in 5 weeks—a metaphor for personal growth and startups. Liao argues founders (and individuals) should embrace “stealth mode” early on: experiment quietly, build a strong foundation, and avoid the pressure of public scrutiny.
Once there’s traction, visibility and accountability (via investor updates or goal-sharing with trusted peers) become essential to maintaining momentum. For VCs, this is a reminder to support founders in their quiet grind before their breakout growth phase.
📝 Article | The Aspirational Investor Framework
Why it matters: Traditional asset allocation models often fail to adapt to real-world investor priorities. Enter the Aspirational Investor Framework, pioneered by Ashvin Chhabra. This framework divides investments into three "buckets": safety (cash, fixed income, essentials), Market (growth assets like equities and real estate), and Aspirational (high-risk, high-reward plays like startups or crypto).
This flexible, goal-driven approach enables investors to align portfolios with life objectives—stability, lifestyle maintenance, or wealth creation. This framework simplifies decision-making for family offices and affluent investors while accommodating shifts in risk tolerance and market conditions.
🎙Podcast | This Week in European Tech with Dan Bowyer, Mads Jensen, and Andrew J. Scott
by Dan Bowyer, Mads Jensen, and Andrew J. Scott
Why it matters: London’s IPO drought (just 6 IPOs in 2024) has fintechs like Starling Bank and Zopa leading a possible 2025 rebound, but structural issues still loom large. Meanwhile, the UK’s AI Action Plan aims to boost public-private partnerships and launch "AI Growth Zones," but funding and talent gaps could hold it back. In biotech, CRISPR is resurrecting woolly mammoths (yes, really), raising ethical and ecological debates on rewilding.
Finally, naturally occurring "white hydrogen" offers a sustainable energy promise, but early-stage challenges make it a long shot for now. For VCs, these stories highlight emerging opportunities and structural hurdles shaping Europe’s tech and innovation landscape.
✍🏻 EUVC Masterclass | Setting up and Structuring a VC Fund
Emerging fund managers face countless challenges when setting up and structuring their first VC fund. The process is complex, daunting, and full of pitfalls, from navigating legal frameworks to engaging with the right service providers, the foundations you lay now will shape your growth trajectory.
That’s why we’re planning an exclusive 3-hour masterclass designed to equip emerging managers with the insights, strategies, and tools needed to tackle these challenges head-on.
This masterclass is a side-event taking place during SuperVenture & SuperReturn.
📝 Article | Change Isn't A Solo Sport (Even For High Performers)
Why it matters: High performers often try to tackle major changes alone—whether pivoting careers or transforming organizations—but this approach can sabotage success. Bachmann’s Change Framework emphasizes the power of building a “crossing team” suited to the type of change: transitions (familiar terrain requiring guides) or transformations (uncharted waters needing fellow explorers).
Mapping your “change team” (mentors, allies, and those impacted) enables clarity and momentum. This framework offers founders and CEOs a roadmap to navigate uncertainty by leveraging collective wisdom—not just brute willpower.
