The European Investment Fund (EIF) has signed a €50 million participation in Nine Realms Venture Capital’s latest fund, focusing on supporting early-stage technology-enabled SMEs in the supply chain sector. Main goal of the investment is to support companies with strong ideas to improve the environmental footprint of the global supply chain, which can account for up to 90% of a consumer good’s footprint. The fund has a target size of €200 million and will specifically target supply chain and transportation technology, industrial decarbonisation & environmental sustainability, and the Blue Economy for its investments.
“Supply chains are an underestimated part of our climate puzzle.” said EIF Chief Executive Marjut Falkstedt. “In terms of both its carbon footprint and the optimisation of logistics for perishable goods, there is a lot to gain in this sector. We’re glad that Nine Realms takes on the challenge and are happy to support this as an integral part of our climate financing.”
Nine Realms will mainly focus on the EU; at least 70% of the investments is destined for EU countries. The fund will have a particular focus on Germany, already a key market for the fund manager, where it will also open a local office.
“We are thrilled that the European Investment Fund recognises the immense potential at the intersection of supply chain and sustainability.” added Sune Stilling, Managing Partner at Nine Realms VC. “Their investment in Nine Realms Fund I validates our vision to support transformative technologies that not only optimise efficiency and resiliency, but also drive significant environmental impact. With our deep expertise in both Supply Chain and Venture Capital, we are uniquely positioned to identify and nurture the next generation of game-changers in this €7 trillion market. Together, we'll build a more resilient, efficient, and sustainable future for global supply chains.”
Nine Realms is set to address one of the existing funding gaps in the early-stage segment of the supply chain technology sector in Europe, as well as a maturity gap between the European and American ecosystems. Europe currently accounts for only 5% of logistics venture funding worldwide, while representing 13% of overall venture funding, and despite having more than 50% of large logistics companies headquartered in Europe.
Background information
The European Investment Fund (EIF): The EIF is part of the EIB Group. It supports Europe’s SMEs by improving their access to finance through a wide range of selected financial intermediaries. The EIF designs, promotes and implements equity and debt financing instruments targeting SMEs. In this role, EIF fosters EU objectives in support of entrepreneurship, growth, innovation, research and development, the green and digital transitions and employment.
The InvestEU programme provides the European Union with crucial long-term funding by leveraging substantial private and public funds in support of a sustainable recovery. It also helps mobilise private investments for EU policy priorities, such as the European Green Deal and the digital transition. The InvestEU programme brings together under one roof the multitude of EU financial instruments currently available to support investment in the European Union, making funding for investment projects in Europe simpler, more efficient and more flexible. The programme consists of three components: the InvestEU Fund, the InvestEU Advisory Hub, and the InvestEU Portal. The InvestEU Fund is implemented through financial partners who will invest in projects using the EU budget guarantee of €26.2 billion. With the InvestEU mandate, European institutions – led by European Commission and EIB Group – aim to mobilise more than EUR 372 billion of public and private investments to finance sustainable investment, innovation and job creation throughout Europe over the period 2021-2027.
Nine Realms invests in the intersection of supply chain and sustainability. The fund targets early-stage companies with strong product-market fit and potential for rapid growth, primarily in Europe and the United States. The Nine Realms team, insiders in both Supply Chain and Venture Capital, is led by the Founder and former Managing Partner of Maersk's Venture Arm, Maersk Growth. They delivered value to Maersk while becoming the leading early-stage supply chain investor with a proprietary value creation and sustainability framework. Their expertise and network enable the fund to identify, access and support transformative technologies that optimize efficiency, reduce waste, and enhance sustainability within the supply chain
Press contacts:
EIB Group:
Tim Smit | +352 691 28 64 23 | t.smit@eib.org
European Commission:
Ignazio Cocchiere | +32 2 29 82261 | ignazio.cocchiere@ec.europa.eu
Nine Realms:
Sune Stilling | +45 3091 1963 | sune@9rvc.com
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