GR Capital in 'active stage' of USD 50m-USD 70m fundraise

Antonina Laurenson
21 February 2023

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GR Capital, a Berlin-based, Ukrainian-owned venture capital firm, is planning to raise USD 50m-USD 70m in the next 18 months, Managing Partner Max Filippov said.

The firm is now in the "active stage" of the capital raise, negotiating with potential investors, he said. Most of these are investors from Ukraine and Eastern Europe, who would like to enter the most promising industries and companies of Western Europe, he added.

GR Capital's total assets under management currently stands at USD 130m, he said.

The firm is also at different stages of negotiations with nine tech companies in Western Europe for potential acquisitions, Filippov said.

It could invest USD 15m to USD 30m in tech acquisitions in 2023, he said. At the same time, the company is scanning around 90 other potential target companies which are looking for additional funding to scale their businesses, he said.

The firm expects to close at least three deals by the year-end, and could invest up to USD 10m in a single target, Filippov said.

Potential candidates will operate in sectors including mobility, logistics, fintech, wealth-tech, as well as health-tech. Some sectors, for example, biotechnology, blockchain and cryptocurrency, are less attractive for VC investment at present, he added.

The VC firm is scanning the markets in Western European countries, specifically Spain, Germany, France, the UK, as its main target markets, as well as Nordic countries, Italy and Benelux markets, Filippov said. It is interested in co-investing in companies with annual revenue of more than USD 10m that require additional funding in early-growth stages, he said.

Over the next three years, GR Capital plans to close at least 10 to 15 deals, expecting to close up to five deals per year, he said.

The VC has in-house advisors who provide legal and financial support, and will use them to complete future deals, Filippov said.

Over the last six years, GR Capital has invested more than USD 115m, with an average investment horizon of seven years, he said.

The VC firm has currently a portfolio of 20 companies, including Barcelona-based delivery service Glovo and London-based food ordering company Deliveroo, Berlin-based digital insurance services provide wefox and digital real-waste agency McMakler, as well as Vienna-based SaaS-platform for documentation in construction and real estate projects Planradar.

The company could make up to five exits in 2024, Filippov said, adding that in 2023 they are most likely not happening because public markets are volatile.

Established in 2016, GR Capital has offices in Berlin and Kyiv, he added.