Proxima Fusion receives 130 million euros for the construction of a fusion power plant

The Munich-based start-up Proxima Fusion secures the largest private investment in the European fusion sector to date. The aim is to realize a commercial stellarator power plant by 2031.

Munich, June 11, 2025 - The Munich-based deep-tech startup Proxima Fusion has raised 130 million euros in a Series A financing round. This is the largest private investment in the European fusion energy sector to date. The young company plans to use the fresh capital to develop the world's first commercial fusion power plant based on a stellarator design by 2030.

This is a milestone for deep tech in Europe

Filip Dames from Cherry Ventures

The financing round was led by venture capitalists Cherry Ventures and Balderton Capital. Other participants include UVC Partners, the DeepTech & Climate Fund (DTCF), Plural, Bayern Kapital, Leitmotif and Lightspeed. Existing investors such as redalpine, Elaia Partners and OMNES Capital also increased their commitment. As a result, Proxima Fusion now has total funding of over 185 million euros. The money is a combination of public funds and private venture capital.

Technology with a scientific basis

Proxima Fusion was founded in early 2023 as a spin-off from the Max Planck Institute for Plasma Physics (IPP). There is still a close partnership with the institute. The company builds on decades of research and the results of the Wendelstein 7-X stellarator experiment. With the help of high-temperature superconductors (HTS) and advanced simulation methods, Proxima aims to make the complex concept of the stellarator usable for commercial applications.

Stellarators could be the power plants of the future.

Daniel Waterhouse, Balderton partner

The focus is on the Stellaris concept, which was developed together with the IPP, the Karlsruhe Institute of Technology (KIT) and other partners. Stellaris is the first industrial stellarator design that takes into account not only physical functionality but also ease of maintenance and technical scalability.

Net energy gain from 2031 is the goal

Proxima Fusion plans to use the capital from the Series A round to build a model coil, which is to be completed by 2027. This component is central to testing and further developing the HTS technology for stellarators. The company would also like to determine the location for its Alpha demonstration stellarator, for which talks are already underway with several European countries.

Alpha is scheduled to go into operation from 2031 and demonstrate a net energy gain (Q > 1) for the first time. This would be a decisive technical breakthrough on the way to the commercial use of nuclear fusion. If successful, Proxima Fusion would be the pioneer of a new generation of power plants.

Europe as a location for fusion innovation

Leading European countries, including Germany, France, the UK and Italy, increasingly see fusion energy as a strategically relevant technology for achieving climate targets and strengthening energy sovereignty. Proxima Fusion sees itself as a link between research and industry and aims to help shape a new high-tech energy sector in Europe.

The company currently employs more than 80 people at three locations: its headquarters in Munich, a development center at the Paul Scherrer Institute in Switzerland and at the British Culham Fusion Campus near Oxford. The team is set to grow further with the new funding. Startbase already reported a successful pre-seed for Proxima in 2023. successful pre-seed for Proxima Fusion in the amount of 7 million euros and 2024 on the 20 million euro seed round.