btov Partners looks to profit from European industrial tech boom with €100m fund close

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European investment house btov Partners has struck its €100m target for its latest industrial tech fund.

EIF, LfA and NRW Bank were among investors backing the vehicle, as well as an array of entrepreneurs, family offices, endowments, corporate investors and banking institutions.

The fund has already been used to executed five investments since it was launched last year.

They include DyeMansion and Cybus in the firm’s ‘factories of the future’ focus area,  Synfioo in the enterprise process automation field and healthcare data analytics company RetinAI in its quantum technologies focus area.

Its most recent deal was also in the latter category, through an investment in HQS Quantum Simulations.

The firm said it also aims to add portfolio companies in its other search areas of design and development tools, electronics and photonics, advanced mobility and new energy technologies.

Btov said its recent analysis of close to 190 exits of European startups in relevant tech fields in the last decade shows that total exit volumes have more than doubled, from about €4bn in the first half of the period to around €10bn in the second half.

Firm partner Robert Gallenberger said, “Corporate buyers from Europe and abroad recognize the increasing technological substance, market opportunities and strategic value of European industrial tech startups which manifests itself in increasing transaction volumes (in euro amounts) over time.

“Whilst we cannot precisely target M&A activity swings, the overall doubling of realized value is an encouraging signal for the future.”

Fellow partner Benedikt Kronberger added, “We are very happy to see large international funds slowly entering the industrial deeptech field in Europe.

“We are committed to building even stronger ties with the growth investor community to develop an ongoing and sufficiently detailed dialogue between early and late stage investors.

“We can build very big companies in our sector, but it requires sufficient follow-on financing and adapted KPIs as well as milestones to properly judge early achievements and traction in the context of industrial validation, certification and sales cycles.

“Recognizing early signs of success at the right point in time will offer massive scale up opportunities in what we consider the industrial core of our European economy.”

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