Generation Tech Partners closes debut €60M fund to buy and digitise German SMEs
What's the deal? Generation Tech PartnersDealroom has a profile for this one. Try Dealroom → has closed its first fund at a hard cap of more than €60 million. The firm plans to acquire mid-sized B2B service providers and build them out with technology and AI.
Who's behind it? The venture capital firm was founded by Sebastian Herfurth (Friendsurance), Daniel Szabo (Körber DigitalDealroom has a profile for this one. Try Dealroom →), and Elias Bitzer (AfinumDealroom has a profile for this one. Try Dealroom →, Liqid). The trio targets Germany's Mittelstand — its core of small and mid-sized companies.
What's the endgame? The capital gives the firm firepower for a buying volume of around €120 million. "Further funds can be drawn down at short notice via co-investments," said Bitzer. The first acquisitions are expected soon.
The signal: The fund reflects a growing appetite among European investors to pair private-equity-style buyouts with technology upgrades, betting that legacy service businesses can be made more valuable through AI and automation.
Read more: deutsche-startups.de
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