European venture capital firm redalpine announced on Tuesday the final close of its early-stage fund. The fund, redalpine capital VIII (RAC VIII), closed oversubscribed at $250 million. That reflects continued investor appetite for companies building on advances in software and science.
RAC VIII is the latest fund in redalpine’s platform built to back European technology companies from Seed to IPO. In total, redalpine now manages over $1.4bn in assets.
Founded in Zurich in 2006, redalpine has spent two decades investing in frontier technologies before they became established venture themes. These include fusion energy, AI, robotics, and biotechnology. Half of redalpine’s investment team are trained scientists, including biologists, physicists, and engineers. They bring the technical expertise to assess complex technologies from the earliest stages.
“Twenty years ago, we started redalpine with the conviction that the most important companies would emerge where software and science meet,” said Dr. Michael Sidler, Founding Partner at redalpine. “That belief hasn’t changed. With RAC VIII, we’re excited to keep backing these founders early, before the opportunity is obvious.”
“AI is leveling the playing field more than ever,” said Sebastian Becker, General Partner at redalpine. “The advantage now lies with whoever understands the underlying science and the hardest problems best, and that has always been Europe’s strength. We’re seeing a new generation of highly ambitious founders who are determined to build and scale world-leading tech companies from here and establish Europe as a global technology power.”
redalpine’s investments include Proxima Fusion , Mistral AI , N26, Basecamp Research, microagi and over 100 other companies. Since 2023, 12 portfolio companies have exited. That came in a period when exits across the technology sector have been scarce.
RAC VII, redalpine’s previous early-stage fund, closed in 2024. The companies it backed have since raised over $1.1bn in total funding.
“redalpine was early in understanding Proxima’s potential for Europe’s energy future and led our Seed round,” said Francesco Sciortino, Co-Founder & CEO of Proxima Fusion, a RAC VII portfolio company. “With RAC VIII, they can bring that same speed and technical depth to more founders tackling genuinely hard and important problems.”
The first investments in RAC VIII include Enact Intelligence , Helical and Arlequin AI. Enact Intelligence is developing force intelligence technology for robotics. Helical is building a virtual AI lab for reproducible drug discovery. Arlequin AI is developing a new AI architecture to protect critical systems.
In total, the fund will invest in around 20 early-stage companies across Europe. It will select them from over 5,000 per year. It will primarily lead Seed and Series A rounds with initial tickets of $1-15 million.
RAC VIII attracted both returning and new limited partners, including Aviva Investors, Flexstone Partners and KfW. That reflects a growing commitment from European institutional investors to support local deeptech and frontier technology. Entrepreneurs, executives with deep domain expertise, and business owners also back the fund. They offer valuable support for redalpine’s portfolio companies.
“redalpine has a proven track record in backing fantastic European businesses that are at the forefront of technology and scientific innovation,” said Cynthia Chen, Head of Fintech at Aviva Investors. “At a time when global VC markets are competing more intensely than ever for investor capital, we are thrilled to partner with the team at redalpine and believe it can help us gain greater access to support some of the most exciting, high-growth, disruptive and innovative start-ups across the UK and Europe. We view partnerships like this as being vital for the continued growth of our portfolio and, ultimately, supporting the delivery of long-term investment outcomes for pension investors.”
redalpine began as a single early-stage fund and has since grown into a multi-stage investment platform. That enables the firm to support founders across every stage of their journey. The platform also reflects redalpine’s broader ambition to strengthen Europe’s capital ecosystem. It aims to ensure that more of the value created by local technology companies remains with European investors. That includes pension funds.
“European self-confidence is back, and nowhere more visibly than among institutional investors, who are now putting real conviction behind European technology,” said Rafael Hubatschek, Partner and Head of Investor Relations at redalpine. “Our fund platform lets us back founders from Seed to scale, so we can keep supporting them as they grow into global category leaders.”
redalpine is a pan-European venture capital firm backing software and science companies from Seed to IPO. Founded in Zurich in 2006, it has offices in Zug, Berlin, and London, and a presence in Silicon Valley. redalpine brings together financial investment, operational expertise, and a vast international network to help ambitious entrepreneurs transform their vision into a reality.
redalpine has over $1.4bn in assets under management. It has backed some of Europe’s most disruptive software and science companies, including Proxima Fusion, Mistral, N26, Basecamp Research, and Microagi. With a multi-stage investment approach, redalpine invests Europe-wide and counts over 100 companies in its portfolio. Find out more at www.redalpine.com.
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