Dutch VC 4impact closes second fund at €68m

Dutch based venture capital fund 4impact Capital, which focuses on innovative digital and sustainability ventures, has successfully closed its second fund (Fund II) at €68 million with support of both the European Investment Fund (EIF) and Dutch national promotional institution Invest-NL.

The EIF invested €17.5 million in the fund, with an additional €7.5 million coming from Invest-NL.

The commitment of the EIF and Invest-NL is pertaining to the Dutch Future Fund II, in which both are partners.

4impact Capital’s fund aims to invest in around 25 innovative software companies, mainly in the climate technology field, and partially in companies focusing on inclusion, health and well-being.

The fund aims to carry out at least 20% of its investments in the Netherlands, but will generally target the Benelux, DACH and Nordic regions.

Since its first closing in 2023, Fund II has backed six ventures, including Coolgradient, which optimizes energy and water consumption in data centers; Deftpower, which is advancing its mission to leverage EV batteries to address grid imbalances; and Carbonfuture, a leading provider of high quality durable carbon removal credits.

“In tackling the innovation financing gap, we have to do all we can to support innovative small businesses, so that they can both start-up in Europe but also stay and grow in Europe,” said EIF CEO Marjut Falkstedt.

“4impact capital’s mission to empower startups with transformative potential aligns with this EIF objective to support innovation while generating social and environmental value. Funds like these have the potential to make a significant impact on Europe’s sustainable future.”

Jellie Banga, Member of the Executive Board of Invest-NL, said: “Invest-NL’s additional investment in 4impact, as part of the Dutch Future Fund initiative, highlights our strong partnership with the EIF. Our combined ticket resulted in a successful final closing, providing increased capital to support impactful ventures.”

4impact founding partner Pauline Wink said: “We are grateful for the support of EIF and Invest-NL as well as all of our other existing and new investors. What drives us is the opportunity to catalyse a sustainable world, and we are excited to help shape the businesses of the future. With our complementary and diverse team we are committed to working closely with our portfolio companies, to provide the support needed to fuel their growth and success.”