Europe is seeing a surge in deep tech investments, with notable funds like OTB Ventures closing a $185 million fund dedicated to supporting deep tech startups in the region, particularly at the Series A stage. This fund, which is OTB’s second and largest to date, has received backing from the European Investment Fund (EIF) and the European Union under the InvestEU Fund.
OTB Ventures, co-founded by Adam Niewiński, sees the EIF focusing on investing in innovative and disruptive technologies emerging from Europe that have the potential to lead global tech innovation. Additionally, NATO Innovation Fund (NIF) has also joined OTB’s investors, aiming to deploy a significant amount of capital in deep tech, defense, security, and resilience sectors.
OTB is concentrating on four key verticals – space tech, enterprise automation, AI, cybersecurity, and fintech infrastructure – aligning well with NIF’s investment themes. The fund has already made nine investments, including startups like KYP.ai and Semron, showcasing its commitment to deep tech innovation.
Concerns around dual-use technology are addressed by OTB, with Marcin Hejka clarifying that investments are not directed towards weapon development but rather civilian technologies. Despite NIF’s reluctance to provide further insights, the collaboration between OTB and NIF could have broader implications within Europe’s deep tech ecosystem.
With its strong presence in Central and Eastern Europe, OTB benefits from a unique deal flow and support from CEE entrepreneurs. The fund’s track record includes successful exits like BabbleLabs’ acquisition by Cisco, indicating the potential for similar achievements with Fund II investments.
Looking ahead, OTB aims to nurture disruptive startups leveraging Europe’s tech talent pool, positioning itself as a key player in fostering deep tech innovation in the region.
