VC firm 212 to deploy EUR 32m in two years, gears up for exits

The sponsor has already deployed EUR 17m in 13 investments from its EUR 49m second fund, which closed in August 2020. The objective is to increase the portfolio to 18-21 businesses by 2025, managing director Ali Karabey said.

Around 65% of the fund is expected to be invested in growth-stage startups, with the balance directed towards early-stage businesses. The fund has a sector-agnostic approach and invests between EUR 750,000 and EUR 5m in exchange for 5-20% stakes.

The vehicle has a five-year investment period and a 10-year lifespan with a three-year extension, according to Karabey. It welcomes co-investment from other private equity or VC firms, he added.

The European Investment Fund (EIF), Qatar Development Bank (QDB) and Turkey Development and Investment Bank (TKYB) are the lead investors in the second fund, alongside a mix of institutional investors and family offices.

Fund I exits
212 plans to exit three portfolio companies from its USD 30m debut fund in the next one to three years, Karabey said.

The businesses are Insider, a Singapore-based software-as-a-service marketing platform; Solvoyo, a Boston, Massachusetts-based provider of end-to-end supply chain planning and analytics platform; and HotelRunner, a UK-based accommodation distribution platform for hotels and travel agencies.

212 is in no hurry to exit Insider, which is nearing unicorn status and should provide large returns to the VC firm, Karabey said. The sponsor saw the company's valuation grow by more than 50 times since its first round of investment in Insider in June 2016, he said.

Fund I's only exit so far was the sale of digital payment company Iyzico to Netherlands-based peer PayU in June 2019 for a consideration of USD 165m, which provided a return equal to 90% of Fund I's total size of USD 30m, according to Karabey.

Fund I invested in 12 startups, with three still active and the rest having seen either small exits or no longer operating, Karabey said.

• Tweet  
• Facebook  
• LinkedIn  
• Google plus  
• Send to  

• Topics
• GPs
• Venture
• CEE
• Venture
• Turkey
• Mergermarket