PLN 210 million will be invested in Polish technology companies by new Polish-Israeli TDJ Pitango Ventures fund. Business experience of Polish private investment and Katowice-based firm TDJ and 25 years of investing in hi-tech projects of the Israeli Pitango Fund are behind it. The launch of the fund is the result of the Bridge VC initiative of the National Center for Research and Development.
„The launch of TDJ Pitango Ventures is an example of a concrete action that will bring us closer to achieving the goals of the Responsible Development Strategy. High-quality VC funds drive investments in technology companies, creating a solid foundation for this part of the government’s innovation-enhancing ecosystem, which will be extremely important for Poland’s economic development over the next decades” – said Jarosław Gowin, deputy prime minister, minister of science and higher education. „By using Polish capital, including NCBR funds, and using the experience of a foreign partner, we are targeting the money that will work towards further investment in innovative solutions and products” – he added.
TDJ Pitango Ventures is based on the joint potential of the Polish investment company TDJ and Israeli Pitango Venture Capital fund, with the support of public funds from the National Center for Research and Development. It is the largest commercial VC fund in the country, with a budget of PLN 210 million. The new entity invests in innovative Polish companies operating in the field of modern technologies, which get a chance to scale globally.
„As part of TDJ Pitango Ventures we offer far more than just financial investment. The entities in which we invest can count on access to the complete TDJ support resulting from our decades of business management experience. Pitango’s participation in the project enables access to the unique in Poland, know-how and coaching in the field of innovative start-ups” – said Tomasz Domogała, chairman of TDJ Supervisory Board.
The fund was created under the Bridge VC National Research and Development Program. It provides public-private support for the commercialization of r&d results with equity capital. Under this framework, PLN 192,5 million will be provided to support projects aimed at the development of the industry based on industry 4.0.
„One of the fundamental goals of NCBR is to support the commercialization of r&d projects at all stages of development, regardless of the business strategy adopted by entrepreneurs. The launch of TDJ Pitango Ventures, project that personally engages Israeli partners, is an important step in the way to increase the efficiency of our operations, yet another element of the support system for entrepreneurs who focus on innovation” – commented Maciej Chorowski, director of the National Center for Research and Development.
The main areas on which the new fund will focus are big data, IoT and industrial IoT, artificial intelligence (AI) and machine learning, enterprise software and SaaS, as well as mobile technology, digital media, medical equipment and digital health. The fund will provide support in early and later stages of company development (seed stage, start-up, later stage expansion). Creating business plans and business strategies, including Go to market, global expansion, M&A’s and preparation of IPOs. Portfolio companies will also be able to count on significant operational support such as human resources, finance, legal services, IT or fundraising.
Pitango Venture Capital is one of the funds created under the YOZMA programe initiative launched in 1993 by the Israeli government. It was based on the creation of Venture Capital funds in Israel, which later invested in modern technologies. This established a comprehensive ecosystem that fosters the development of innovative companies. Thanks to these actions, Israel now has the second most innovative economy in the world after the United States.
„Pitango VC is one of the leading venture capital fund in Israel. The value of the capital we have under management is USD 2 billion. Since 1993, we have invested in innovative technology companies in a variety of areas” – says Rami Kalish, co-founder and general managing partner of Pitango VC. „Since the foundation of the fund, we have supported more than 200 companies and we have completed more than 80 exits. Many of the entities in our portfolio are currently operating globally and others have become part of corporations such as Apple, Intel, Microsoft, Cisco, IBM and Oracle” – he adds.
With the start of TDJ Pitango Ventures, the new fund’s website has been launched: tdjpitangoventures.com. This is where startups interested in submitting their ideas and obtaining funding can start the application process.