Forestay, a promising venture capital firm based in Geneva, Switzerland, has recently announced the closing of its second fund, Forestay Capital II, at a maximum limit of $220 million. While initially flying under the radar in Europe, Forestay gained recognition by leading funding rounds for enterprise startups, notably supporting the success of scanning software startup Scandit from Zurich, which has raised $273 million to date.
The newly established Forestay II fund will focus its investments across Europe and Israel, with a specialty in leading growth rounds ranging from $10 to $15 million at the pivotal moment of a company’s growth trajectory.
Forestay has already invested in 13 companies, including notable successes like K2View, Nexthink, Scandit, and Wasabi, with three reaching unicorn status and two being acquired. The firm’s recent investment in Neural Concept, a startup originating from EPFL, the Swiss Federal Institute of Technology in Lausanne, which secured $27 million in a Series B round, highlights its commitment to supporting innovative AI-driven solutions in fast manufacturing design.
Forestay also took the lead in funding Portugal’s ‘predictive maintenance’ startup Stratio, contributing to a $12 million Series A round in 2021.
Created as part of B-FLEXION, Forestay is backed by the renowned Bertarelli family, known for their significant success in building Serono into a global biotech leader. The firm is spearheaded by Frederic Wohlwend, former Global Chief Digital Officer of Merck KGaA and Serono, who emphasizes their exclusive focus on enterprise AI and SaaS ventures.
Despite operating in a competitive landscape, Forestay’s strategic approach concentrates on Series B investments in enterprise AI and SaaS, positioning itself as a ‘nearly-growth’ fund that targets companies at crucial revenue-generating stages.
This unique positioning aligns with the evolving landscape of SaaS markets in Europe and Israel where opportunities for growth-stage startups are abundant but often face challenges in securing investment capital.
In collaboration with Anaïs Ventures, the investment vehicle for select members of the Firmenich family, Forestay continues to expand its reach and impact within the investment landscape, affirming its commitment to fostering innovation and growth in the European enterprise sector.
Forestay’s emergence signifies a positive development for European startups seeking growth capital and further enriches the vibrant ecosystem of venture capital opportunities available in the region.
