Amsterdam and Hamburg-based Endeit Capital, a venture capital firm that invests in growth-stage companies in Europe, has announced that it has closed its third and largest fund, ‘Endeit Capital III’ at €250M. The mission is to support European scale-ups that develop products and services to accelerate the digital transformation of the European society and economy.
The news follows after the firm recently announced that its co-founder Joop van den Ende had sold his 50 per cent stake to partners Hubert Deitmers and partner Martijn Hamann, after 15 years in the company.
About Endeit Capital
Endeit Capital is a growth capital provider with a focus on European scale-ups based in the Netherlands and Germany. The firm focuses on technology companies that take the leap from the start-up phase to scale-up.
The firm invests in its portfolio companies as well as provides operational advice. The firm’s partners also support in the areas of expansion, internationalisation, and buy & build.
According to the firm, until today, it had raised and invested over €250M through its first two funds and now doubles the investments raised with the quarter billion euro of its new Endeit Capital III fund.
The firm typically invests in tech companies engaged in sectors such as digital media, edtech, e-commerce, and mobile. They provide mid/later-stage growth capital typically between €3M – €12M to European companies with international growth potential.
Endeit’s current and previous Dutch portfolio companies include Bux, 3D Hubs, Roamler, Albelli, MetrixLab, Unamic and Eyeworks. As for the DACH region, the firm has invested in startups including Gastrofix, Comtravo, Contorion, Chronext, Tourradar, and Smartclip. And, in the UK, it has invested in Nordics Blis, Unruly, and Leadfeeder.
How will the new funds be utilised?
The European early-stage capital witnessed a record high growth during the pandemic in 2020 and Endeit Capital believes that European ecosystem historically has a lower supply of late-stage capital than other ecosystems. Hence, the new fund is launched against a lack of later-stage venture capital in Europe.
Endeit Capital III is supported by a comprehensive mix of entrepreneurs, family offices, institutional investors and the partners of Endeit themselves.
Founder and managing partner of Endeit Capital, Hubert Deitmers, says, “This financing round of Fund III has been a huge success, where we could establish the fund within a short time frame in its ‘First &Final close’, despite corona. It is rewarding to see that ten entrepreneurs that Endeit had previously invested in are now investors themselves in this third fund.”
These investors aim to help the internet companies in Europe and develop the innovation potential as well as digital maturity of Europe in comparison to global superpowers such as the US and China.
Deitmers adds, “As fundamental shifts in technology happen, a spirit of invention and purpose is required – we support those internet entrepreneurs who can drive the change to make Europe more competitive and who have the ambition to become global market leaders.”
According to Deitmers, the next generation of European internet companies will be accelerated by core technologies, like machine learning (ML), artificial intelligence (AI), and quantum computing. And the investors aim to ensure that such companies find the right environment in their home markets, rather than moving outside of Europe.
Deitmers believes, “There is huge potential in building European winners who scale globally, taking a massive share of the respective market. We have grown global market leaders out of Europe before. To foster this digital maturity, we see and seek the opportunity in funding and growing great teams in Europe that build global market leaders on these core technologies.”
Endeit started its roots from Endemol, a Dutch media company that produced and distributed multi platform entertainment content. Current owners Hubert Deitmers and Martijn Hamann, worked closely with Endemol, and in a very short period, helped it make a public listed company which is active in 23 countries globally. At Endemol, they acquired and built more than 80 businesses and was subsequently sold for billions.
With Endemol, Endeit started applying the same learnings to help international entrepreneurs in media, technology, and the internet to efficiently scale and position their companies globally, both organically and via a structured Buy & Build strategy.
Endeit invested in 35 companies who combined added another 35 acquisitions. Many of them have been acquired by publicly quoted buyers across three continents, such as Time Warner, Xerox, Newscorp, Protolabs, Lightspeed, Macromill, TMG, and Cimpress.
Most recently, Endeit’s portfolio company, Amsterdam-based BUX – a neo-broker, raised $80M for its expansion, and provide an ever-increasing number of young Europeans with the possibility to invest without commission.