Stockholm-based Norrsken VC, an early-stage impact venture capital fund, announced on Tuesday the final closing of its oversubscribed second fund at €320M, surpassing the original target of €250M.
The finalised total makes Norrsken VC Fund II the largest early-stage generalist impact fund in Europe.
Who backed Norrsken VC II fund?
The Norrsken VC II fund is backed by almost 50 LPs, looking for impact as well as financial returns. Institutional investors include AP1, Folksam, Saminvest, KfW Capital, and the Ireland Strategic Investment Fund (ISIF).
Further financial backers include Credit Suisse (now merged with UBS Group), Investcorp-Tages, BMW, SEB-Stiftelsen and Nordea. The fund is finalised by a roster of unicorn founders and influential business figures, including Azeem Azhar.
Investing in 30 impact startups
The Swedish VC aims to invest its second fund in over 30 impact startups, providing these companies with the capital needed to rapidly scale and tackle some of the world’s greatest challenges.
Niklas Adalberth, General Partner of the fund and founder of Norrsken Foundation, says, “Our long-term vision is to see every dollar invested globally as a net positive for people and planet. With Norrsken VC II we aim to find, back, and empower force of nature founders, and set them on a path to build impact unicorns – companies that positively impact 1 billion lives.”
Norrsken VC fund invests in companies with a clear environmental or social impact objective. The fund follows strict criteria aligned with the United Nations Sustainable Development Goals and the EU’s Sustainable Financial Disclosures regulation.
Norrsken VC was one of the first funds in Europe to implement a structure that links its financial compensation incentives to achieving impact targets, demonstrating its commitment to impact.
The VC focuses on sectors including climate tech, energy, biotech AI, and health tech.
To date, Norrsken VC has invested in 50+ startups, including unicorns Northvolt, Einride, and 1KOMMA5°.
Tove Larsson, General Partner of Norrsken VC, says, “While more funds have joined the sector since our inception, it remains relatively uncrowded, with less than 1% of global capital dedicated to impact investments. Urgency is evident as we’ve exceeded six of nine Planetary Boundaries, underscoring the need for investments in innovations for a more habitable world. We’ve openly shared our investment philosophy, urging fellow impact investors to adopt it and thrive. With our second fund, we’re committed to finding the best impact founders in the DACH region.”
Norrsken VC: Supporting the impact entrepreneurs
Founded in 2016 by Niklas Adalberth, co-founder of Klarna, Norrsken VC is Europe’s leading early-stage impact venture capital fund.
It was born out of Norrsken, a non-profit impact ecosystem that connects founders with the capital, knowledge, and network they need to make saving the world their business.
Norrsken VC runs as an independent investment firm from the Norrsken Foundation and was established by the four general partners David Frykman (ex. Gymgrossisten), Tove Larsson (Bain & Company), Agate Freimane (Morgan Stanley) and Niklas Adalberth (co-founder of payment services unicorn Klarna).
The rest of the 15-strong Norrsken VC comprises life-long investors across venture capital, private equity, and investment banking, plus startup operators. The team is predominantly Sweden-based but with a global investment thesis.
David Frykman, General Partner of the Norrsken VC says, “We’re overwhelmed and thrilled to be closing this oversubscribed fund. This surge in interest validates our belief in the impact + return model we’ve helped establish here in Sweden. With our new fund, we’ll double down on our native market while simultaneously looking across Europe for visionary founders who share our passion for creating a better future. We’re looking for disruptors tackling climate change through innovative energy solutions, alongside advancements in health, responsible AI, and adaptation strategies.”
Agate Freimane, General Partner of Norrsken VC, says, “Climate is now the number one biggest vertical in European VC, and for good reason. What sets Norrsken VC apart is our unwavering Article 9 commitment. This means sustainability isn’t a checkbox, it’s the investment thesis. This, combined with our deep expertise and proven track record, makes us a magnet for the world’s most inspiring mission-driven founders. For us, impact isn’t optional, it’s our shared bottom line.”
Read the orginal article: https://siliconcanals.com/news/startups/norrsken-vc-closes-second-fund-320m/
