Luxembourg fund raises $40m to invest in European start-ups

Karma Ventures will offer Series A funding to "promising" early-stage businesses with strong ideas and unique technology

Karma Ventures, a Luxembourg-based fund, has closed $40m for a new fund targeted at Series A rounds in Europe's “most promising” start-ups.

The fund will be managed by Tommi Uhari alongside Margus Uudam and Kristjan Laanemaa; former executives at venture capital firm Ambient Sound Investments which managed a minority stake in Skype and has investments in Wahanda; now known as Treatwell.

The fund is looking to back businesses with “strong ideas delivered with unique technology, which are gaining traction with customers”.

The key investors in the new Karma Ventures fund are Ambient Sound Investments and the Baltic Innovation Fund, and the fund is targeting its second funding close by the end of 2016.

Uudam commented:

“We’re seeing more excitement in Europe as more start-ups reach high valuations and manufacture successful exits. More talent is deciding to found or build startups, either instead of moving into traditional business, or after experiencing success and seeking a new challenge. That creates plenty of opportunity for early stage investment.”


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