The venture capital arm of German industrial conglomerate Siemens has announced the establishment of a USD200m fund of venture capital funds.
The venture capital arm of German industrial conglomerate Siemens has announced the establishment of a USD200m fund of venture capital funds.
Siemens Global Innovation Partners I will invest in venture capital funds worldwide as well as select growth capital funds with the aim of generating outstanding returns for its investors.
The fund has already secured nearly half of its target volume through its first closing with the participation of the German Siemens pension funds and two European insurers.
Siemens Venture Capital, the group’s central corporate venture capital business, is the fund’s general partner.
Siemens Venture Capital has formed a fund of funds with a regionally and technologically diversified portfolio of venture capital and growth capital funds.
About two-thirds of the fund will be invested in venture capital funds and select growth capital funds in North America.
Venture capital investments and select growth capital investments in Europe, Israel and Asia will make up the rest. The target portfolio will include about 20 funds.
‘In contrast to Siemens Venture Capital’s previous approach, the fund’s investment strategy is guided solely by financial criteria,’ says managing director Dr Ralf Schnell (pictured). ‘Siemens Global Innovation Partners I offers an extraordinary combination of extensive global expertise building on a strong track record as a fund investor and direct investor in early-stage technology firms. As a result, Siemens Venture Capital is in a superior position to assess many target funds based on its experience as a co-investor.’
