From CNBC, Jamuary 23:
- Plural, a venture firm set up by the founders of Wise, Skype and Songkick, raised 400 million euros ($436.4 million) for a new fund.
- Plural II will invest mainly in European tech, seeking to find innovative names that haven’t been discovered by mainstream funds like Atomico.
- Plural co-founder Taavvet Hinrikus, formerly of Wise, said his fund is different from competitors as it was started by entrepreneurs with “scar tissue.”
The founders of Wise, Skype and Songkick have raised 400 million euros ($436.4 million) for a new fund to back technology startups in Europe. It seeks to compete with established funds like Atomico, Balderton Capital and Creandum with its founder-led focus.
Plural Fund II, the firm’s second to date, arrives just 18 months after the firm raised its last fund, a 250 million-euro vehicle. Its co-founders include Taavet Hinrikus, co-founder of fintech firm Wise, Ian Hogarth, co-founder of concert discovery service Songkick, Sten Tamkivi, co-founder of communications platform Skype, and Khaled Helioui, former CEO of Bigpoint Games.
Hinrikus told CNBC that Plural could serve as a better partner to startups in Europe than most venture capital funds, given that it was started by people with the “scar tissue” of proven entrepreneurs. Only 8% of VCs in Europe are former founders, he says, much lower than the 60% in the United States.
“If we look at a lot of VC funds, you have lots of people who have done great work with spreadsheets, not with startup life,” Hinrikus told CNBC in an interview. “In our case, it is seen as a core criteria for choosing our partners that they’re totally unemployable.”
“It feels like it’s world war three, and we’re in the trenches together as one of the founders. So, if we look at the track record, and our ability to get the deals done, I think that all seems to say that this is really missing in Europe,” Hinrikus added....
....MUCH MORE
Although Hinrikus goes a bit hyperbolic with the WWIII talk he is right on about the VC approach to risk. Always, always remember:
if we could handle risk we'd be entrepreneurs."
From our post "Climateer Line of the Day: Venture Capital Edition".
