Ananda raises 65 million euros

The VC's new impact fund is already well-filled, and now the venture capitalist is increasing the target amount to up to 100 million euros.

Impact venture capitalist Ananda has raised €65 million, marking the first closing of its fourth fund. The money comes from the European Investment Fund (EIF), UK-based Big Society Capital and several family offices. With the sum, Ananda has exceeded its own expectations and expanded the fund's target size from €75 million to between €90 million and €100 million.

Founded in 2009, the venture capitalist focuses on startups dedicated to environmental and social innovation, developing new solutions to issues such as sustainability. "Ten years ago, it was an immature market," says Florian Erber, who co-founded the fund with Johannes Weber, and shares his suspicions about why the impact theme is finding investors more easily today: "One observation is that at the same time, the younger generation is entering the workforce and expecting employers to make sense of it. That means companies like our portfolio companies that are committed to positive impact have an edge in attracting great talent."

Ananda employees are often founders themselves, so they know the process behind it and also support their portfolio companies on issues like diversity, equity, mental health and carbon reduction, according to Zoe Peden, principal at Ananda.

Investors were happy to entrust their money to the venture capitalist, as Alain Godard, CEO of the European Investment Fund, says: "Ananda Ventures is a true pioneer with a strong track record in the growing impact investing market in Europe. The fact that we have now invested for the third time in a row is testament to the team's expertise and know-how."