DEPO Ventures opens the largest angel fund in the CEE region

DEPO Ventures opens the largest angel fund in the CEE region. They are aiming for 20 million euros and looking for investors who will bring something extraordinary to startups.

There is a huge amount of money in the startup world. Investments are often made in millions of euros, and the value of companies can quickly exceed a billion. Before technology startup founders can get to this stage, they need a large amount of investment capital, which they have trouble getting from investors in the early stages. The investment group DEPO Ventures is now launching its third angel fund, which is one of the few to focus on investing in early-stage startups. It wants to bring together angel investors who can help startup founders further their development. At the same time allow them to invest in a much more systematic way. The new fund will become the largest angel fund in Central Europe.

The third fund differs from the first two successful funds launched by DEPO Ventures in previous years mainly in its target volume. While the previous funds were in hundreds of thousands of euros, DEPO Ventures now aims for much higher capital. And it's not just about the amount of money raised. "We are evolving. We started with typical angel investments, but we have gradually moved to the next phase. More often than not, startup founders are asking investors to play a strategic role as well. And we are ready for that," explains Michal Ciffra, partner at DEPO Ventures.

Like the previous two, the newly opened fund wants to focus on investing in early-stage startups, which are not usually targeted by larger venture capital funds. This is because startups don't yet have enough history behind them to meet their criteria. Investments will be mainly in the areas of advanced technologies, such as artificial intelligence and blockchain applications, financial technologies, or tech marketplaces. The aim of the fund is to support talented tech founders from Central and Eastern Europe focused on developing tech and business models that innovatively solve societal or business problems while having global growth potential.

DEPO Ventures wants to attract not only qualified individuals but also institutional and family offices from Central and Eastern Europe to the third angel fund. Investors can provide startup founders something additional apart from funding. "Finance is of course important for founders, but the main strength lies in the added value that the investment brings with it. This was confirmed for us with the first two angel funds. Investors want to engage, pass on experience, provide contacts and help with strategy. This significantly increases the chances of a startup overcoming the first hurdles and getting to a stage where it can already get investment from a larger VC fund. On the other hand, not all investors have to be actively committed, we are ready for passive investors as well," adds Petr Šíma, partner at DEPO Ventures.

Investors' experience will help early-stage companies

The first two funds were invested mainly by high-ranking managers and entrepreneurs from Czechia with many years of business background. Their expertise is key to them. "I was looking for a place where I could invest and at the same time use my professional experience, meet interesting people and learn something new. A place where I can give and receive at the same time. And that's what I found in the fund," says Igor Zahradníček, COO and vice chairman of the Board of Czech Airlines Technics.

DEPO Ventures is one of the most active investors within the startup ecosystem in Czechia. They have invested in 13 startups in the last year alone, bringing their total number to 27. These are young companies from Czechia as well as other Central/Eastern European and Baltic countries.

The first fund, originally called Grouport, increased its value by more than fivefold in three years. Among the startups in which the fund has invested money in, blockchain app development platform Tatum, edtech startup Upgrade Academy and the bike marketplace BikeFair are performing best. "DEPO Ventures is an investor that gives space to founders. At the same time, it is ready to help at any time and do whatever is in the interest of the startup," says Jiří Kobelka, founder and CEO of Tatum, in which the fund invested back in 2019.

In addition to angel funds, the group also runs a syndicate called DEPO Angels, which allows qualified investors to invest their funds in other projects. In the last year, there have been ten such opportunities worth two million euros. Investors had the opportunity to invest not only in the best-performing companies from the DEPO Ventures portfolio but also in already developed companies, such as the well-known shared taxi platform Bolt.

Disclaimer: This press release is for informational purposes only. It is not intended to be an offer or solicitation of an offer of assets under management or an offer to buy or sell any investment vehicle.