London-based VC firm Flashpoint unveils $102m close of its VCIII fund, secures first institutional investment partner
Flashpoint Venture Capital, an international technology investment firm that manages equity and debt funds that are focused on global Series A tech startups originating in Emerging Europe and Israel, announced that Széchenyi Funds signed up for a commitment of $20 million in Flashpoint’s VC III fund becoming Flashpoint’s first institutional limited partner.
Michael Szalontay, Co-founder and General Partner, Flashpoint: “We are delighted to reach our initial goal of over $100m in commitments for our VC III fund despite the extremely challenging backdrop for fundraising. Being a Hungarian, I am especially proud that our first institutional investor is from Hungary as we are pursuing a shared mission in developing the venture capital ecosystem in Hungary and the Carpathian basin.”
While Széchenyi Funds’ focus is on financial institutions, large corporates, and more mature SMEs, it provides startups with “smart money” through domestic incubators and accelerators and especially through fund of funds investments.
Alexander Konoplyasty, Co-founder and General Partner, Flashpoint: “We have a tailored strategy to invest in b2b software companies in Western markets where we are particularly focussing on founders who originate from Emerging Europe and Israel. 1/5th of Western unicorns were founded by expats from Eastern Europe and Israel - they are much more cost-efficient than an average U.S. startup and there is tremendous pent-up demand for capital among them. We, therefore, bring a strong cultural fit, a wide business network and we look forward to equipping our founders for the next phases in their development.”
Dénes Jobbágy, CEO and President, Széchenyi Funds: “We know from experience that Emerging Europe talent and professional investment is a highly efficient combination. Especially so in the following years when increasing cost efficiencies through technology will be more important than ever before.”