Top Highlights
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Stake Sale & New Partnerships: Founders Future, a Paris-based VC firm with €300 million in assets, has sold a 25% stake in its holding company to MACSF and the Dassault family, positioning itself for growth.
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Portfolio Expansion: Since 2018, the firm has invested in 110 companies, including notable startups like Lydia and Alma, aiming to amplify its portfolio by entering the U.S. market.
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Ambitious Growth Target: Founders Future aims to reach €1 billion in assets under management by 2030, capitalizing on America’s higher valuations and better exit opportunities for startups.
- Transatlantic Strategy: The firm plans to establish U.S. offices and launch a growth fund focused on American investments, facilitating cross-border opportunities for European and U.S. tech companies.
Founders Future’s New Strategy
Founders Future, a Paris-based venture capital firm, has ambitious plans to expand into the U.S. market. Since its inception, the firm has built a strong track record, investing in over 110 startups, including notable names like Lydia and Alma. Recently, it sold a 25% stake in its holding company to several prominent investors, which will help fund its U.S. expansion. The firm aims to increase its assets under management from €300 million to €1 billion by 2030. This expansion not only signifies the firm’s growth but also reflects its strategy to develop a more structured operation. They plan to hire a dedicated team and establish two offices on both the East and West Coasts.
Menasé highlights a crucial insight about European companies. Many struggle to find their footing in the U.S. despite starting strong in Europe. However, once they enter the American market, these companies often see their annual recurring revenue (ARR) double or triple within three years. Furthermore, U.S. firms generally enjoy higher valuations and more exit opportunities. By creating a transatlantic bridge, Founders Future intends to support its European portfolio companies as they scale into the U.S. market. Instead of merely opening a business outpost, the firm will raise a growth fund focused on American investments.
Expanding Horizons for European Startups
This endeavor also benefits U.S. startups looking to enter Europe. Founders Future’s European expertise will provide valuable insights into navigating the local tech ecosystem and policies. They plan to target investments between $5 and $10 million in growth rounds of at least $50 million. Although fundraising for this new focus has yet to commence, the firm anticipates raising around $250 million. Partners from the original stake sale, such as MACSF and the Dassault family, are potential contributors.
In a rapidly changing global market, Founders Future’s approach highlights a shift towards the importance of international collaboration in tech investment. By strengthening ties between Europe and the U.S., the firm demonstrates how cross-border strategies can benefit individual firms as well as the broader startup landscape. As more European companies venture into the U.S., they could enhance innovation and create new opportunities for growth, contributing significantly to the global tech ecosystem. This expansion signifies a strategic move not only for Founders Future but also for the startups they represent, fostering a more interconnected tech journey.
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