Deep Tech Startups: Austria and UK Launch €80M Fund

UK-based Amadeus Capital Partners and Austria’s Apex Ventures have joined forces to launch a new €80 million ($85 million) venture capital fund aimed at early-stage deep tech startups. The Amadeus Apex Technology Fund has raised an initial €28 million and has already made its first investment of $1 million in German space startup Okapi-Orbits.

The fund’s investment team includes Amadeus’ co-founders Anne Glover and Hermann Hauser, and Apex partners Andreas Riegler and Wolfgang Neubert. It is aimed at startups with “unique and defendable technology” in the DACH region, comprising Germany, Austria, and Switzerland, with a focus on AI, quantum computing, mobility and outer space, robotics, and other areas of the deep tech sphere.

“The partnership also allows for early-stage investments in other European markets outside the U.K., such as Poland, Denmark, and the Netherlands, which are on our radar for everything from quantum tech to photonics and AI,” said Andreas Riegler, an Apex partner.

Amadeus Capital Partners has made over 260 investments in the past 25 years, including network security firm Forescout, acquired for $1.9 billion in 2020, and self-driving startup FiveAI, bought by Bosch in 2022. Apex Ventures has made 40 investments since it was founded in 2017, including a €2.7 million funding round into German biophotonics startup Refined Laser Systems.

The two firms have partnered to expand their early-stage footprint in Europe and tap into each other’s expertise, deal flow, and syndication experience. “We have collaborated with Hermann Hauser for many years… and we have multiple joint investments,” Riegler said. “The Amadeus team wanted to expand their early-stage footprint in Europe and turned to Apex Ventures for our local expertise, deal flow and syndication experience.”

The Amadeus Apex Technology Fund is targeting seed and Series A stage startups in the DACH region. “We’ve focused on this region because we recognize it as a perfect breeding ground for early-stage deep tech innovation, with top universities and a large developer pool,” Riegler said. “At the same time, deep tech funding is still low, which presents a huge opportunity for growth.”

The new fund’s investment strategy is aimed at early-stage companies that have unique and defendable technologies, particularly in areas such as AI, quantum computing, mobility and outer space, and robotics. The fund will invest between €1-1.5 million in each startup.

“We’re looking for disruptive technologies that are truly unique, have long-term potential, and are difficult to replicate,” said Hauser. “We want to help our portfolio companies build successful businesses and grow to become global leaders in their fields.”

The Amadeus Apex Technology Fund is poised to invest in a range of deep tech startups that are well-positioned for growth in the DACH region. Its investment team brings a wealth of experience and expertise to the table, and the fund’s focus on unique and defendable technology is a promising sign for startups.