Six investors are launching Flex Capital, a fund for German mid-sized tech companies. Two Berlin-based entrepreneurs, Christoph Jost and Peter Waleczek, are managing the investments. The Bits & Pretzels organizers are also involved. Felix Haas and Munich-based investors Andreas Etten, Jan Becker, and Robert Wuttke participated in the tech fund. The first investment has already been completed.
The six entrepreneurs have launched a €120 million fund called Flex Capital. They aim to use their investments and expertise to support medium-sized software companies.
According to the investment company, the approximately 11,000 medium-sized software and internet companies in Germany generate annual revenues of 152 billion euros and employ half a million people. The two managing founding partners Christoph Jost and Peter Waleczek say:
"There are numerous medium-sized internet and software companies that have developed into true tech champions in recent years through their own efforts. Without a business plan or venture capital. We want to support these tech pioneers when they reach structural growth limits. This ensures that a larger share of tech value creation remains in Germany."
Flex Capital already has a stake in Bielefeld-based software company
Flex Capital aims to invest between €5 million and €25 million per investment, either in majority stakes—including for succession planning—or in significant minority stakes. The focus is on companies with revenues between €5 million and €30 million that are experiencing steady growth and operating profitably. The investments are long-term.
Flex Capital is the first portfolio company to invest in Bielefeld-based Egoditor. Founded in 2009, the company has so far operated without external capital.
