Looking back on HTGF Family Day 2025: An anniversary of innovation and cooperation

HTGF Family Day 2025 was a resounding success – two days packed with inspiring talks, lively discussions and valuable networking opportunities. The event kicked off with Networking Night on Monday: Following the opening by Managing Directors Romy Schnelle, Dr Alex von Frankenberg and Dr Achim Plum, Carsten Maschmeyer gave a rousing keynote speech on the topic of sales.

This was followed by moderated panel discussions on forward-looking topics such as artificial intelligence, New Space and the ‘DNA of Unicorns’. In addition, there were numerous direct discussions between investors, start-ups and other players in the start-up ecosystem.

On Tuesday, Gitta Connemann, Parliamentary State Secretary at the Federal Ministry for Economic Affairs and Climate Action, offered valuable insights into German start-up policy. The second day of the event offered a packed programme: 40 pitches, 12 panels and numerous keynote speeches provided plenty of input and opportunities for exchange. In total, almost 5,000 direct conversations were arranged between participants. The grand finale: the birthday bash celebrating the HTGF’s 20th anniversary.

A big thank you to everyone who contributed to the success of the HTGF Family Day – the speakers, panellists, participants and the entire HTGF team. Family Day 2025 has once again shown how important innovation, exchange and cooperation are for a successful future.

We are already looking forward to the next event on 11 and 12 May 2026 in Berlin!

Photos & Video: Dominik Tryba, Introduce Productions

Driving growth from within – How established companies can benefit from start-ups

A breath of fresh air can do wonders – and not just in the outdoors. It wakes you up, clears your head, and also inspires you to try new things. Things that give us a boost – new ideas, change and new beginnings – can also do the same for companies. But where does this breath of fresh air come from? In many cases, it’s start-ups that are shaking up established structures.

We sat down for a chat with Florian Nöll, Partner and Global Venturing & EMEA Startups, Scaleups Leader at PwC Germany, to learn about how corporates and medium-sized companies can get the best out of collaborating with young companies – and why it’s a win-win situation for both sides.

Why do you feel closer collaboration between established companies and start-ups is essential for sustainable growth?

Start-ups tend to be more agile and innovative, providing major corporates and medium-sized companies with dynamic insights. On the one hand, the synergies that arise enable established companies to leverage fresh ideas and technologies to boost their competitiveness. On the other hand, collaboration gives start-ups access to resources and networks that propel their own growth. It really is a win-win situation that strengthens Germany’s economy overall, as well as the local ecosystem. It therefore comes as no surprise that the latest data from industry association Bitkom shows that 32% of companies already have at least one collaboration project with start-ups, with 98% of them reporting that their expectations have been met or even exceeded.

What are the concrete benefits for companies that invest in or work together with start-ups?

Companies looking to team up with start-ups stand to benefit from innovative solutions and technologies that can accelerate their product development efforts. These partnerships or investments also enable them to tap new markets. A recent Bitkom survey revealed that 11% of companies are developing new products or services with start-ups, that 3% hold financial stakes in the start-ups, and that 2% have founded their own start-ups from within the company. They thus become more innovative, which in turn helps to improve customer loyalty while also strengthening their corporate image as an innovator on the market.

What challenges arise when integrating start-up innovations into existing corporate structures, and how can they be overcome?

When integrating start-up solutions into established companies, innovation teams often encounter structural barriers – particularly in the areas of legal and IT, as well as in works council negotiations. The way to overcome these challenges varies greatly from company to company, of course. That said, our experience has shown that transparent communication and interdisciplinary teams that can work together flexibly are essential aspects to successfully navigating these challenges. And that’s something we have in fact achieved in over 80% of the last 100 projects we’ve worked on, giving rise to sustainable collaborations.

Take it easy and show respect to others: how start-ups can benefit from radical friendliness – a conversation with Nora Blum

Nora Blum is a psychologist and co-founder of Selfapy, a digital therapy platform that supports people suffering from mental illnesses.

The digital health start-up was recently acquired by HTGF fund investor MEDICE. Her new book is focused on radical friendliness – a notion rarely associated with tough business strategies. In this interview, Nora talks about how mutual respect and authentic values can make a difference, particularly in the early stages of starting a company.

Nora, in your book you talk about how “radical friendliness” not only helps people to succeed in their private lives, but also in a business context. What was the moment you realised that this was the case?

Nora Blum: It wasn’t necessarily a moment, but more of a process. Once I stepped down from the operational management of Selfapy, I reflected on what really made us stand out from the other health start-ups.

The market is extremely challenging and many start-ups have failed. Of course, there is a lot of luck and good timing involved. But looking back, I also think a key factor for us was our ability to build strong relationships – with both our contract partners and our employees. And I really believe that a lot of this had to do with our friendly approach.

Our running of the company was always guided by values – with the aim of ensuring friendly interactions with all our contract partners and other contacts. It was an approach that really paid off. Right from the get-go, we had numerous supporters, an extremely loyal team and many contract partners that wanted to work with us because they liked us. I honestly believe that our attitude – our friendly and our respectful approach – was one of the key reasons we successfully navigated the first few particularly challenging years with Selfapy.

What made the difference during this time?

Nora Blum: In the early stages, you have little capital and experience – you are heavily reliant on the goodwill of others. People who are willing to take a leap of faith with you, perhaps by signing a contract with you despite your company still being relatively young. Or people who are prepared to share their knowledge with you without immediately expecting something in return.

Luckily, we had many such people around us – and I’m convinced that this was down to our friendly approach. It created an environment in which others were happy to help us.

Company founders might be worried about coming across as too friendly in tough negotiations with investors or business partners – perhaps concerned they might get a worse deal. How can you be friendly and still get your way?

Nora Blum: Friendliness doesn’t mean agreeing with everyone and accepting every condition. Far from it. We can be tough negotiators and represent our interests clearly and assertively while also remaining respectful. I think it is a common misconception that being friendly means you simply go along with everything.

If we do not represent our interests, then we are not being fair to ourselves, nor are we being smart entrepreneurs. Friendliness also involves setting out boundaries. The real skill lies in being able to do so while at the same time remaining friendly and respectful.

In the early stages, you often have to deal with strong pressures, uncertainties and setbacks. What attitude should you adopt to tackle these issues constructively?

Nora Blum: I’m a big fan of Simon Sinek’s book “The Infinite Game”. We need to start seeing companies and business as a kind of game – one that is important but which we play in a relaxed manner while also taking a step back from time to time. We otherwise become too obstinate and make our self-worth too dependent on the success of the company. If we fight too hard for success, we sometimes lose the perspective to rearrange things – for the purpose of creativity and pivots, for example.

It is important to approach a process with a degree of ease and levity to ensure that we don’t end up frustrated and give up too early due to exhaustion. This is easier said than done. But it helps to view the process of starting a company with joy and excitement, and to take a step back every now and then, instead of being too stubborn when working towards an objective.

With Selfapy, you were working in a sector where there were a lot of obstacles when you first started out. What role did friendliness play in overcoming such resistance?

Nora Blum: Friendliness is particularly important whenever you are not met with open arms and cheers. When we started out with online therapy, we were met with a lot of resistance – particularly in the field of psychotherapy. Today, digital therapy services are well-established as a standard therapy option in all guidelines. Back then, however, we were often viewed very critically.

We always tried to remain in dialogue – without responding aggressively. Tough criticism is often an expression of concern. Once we are able to recognise that, we can be respectful in our response.

Over the years, we’ve also worked with our competitors in a spirit of partnership There’s no point in working against each other, particularly in sectors where you want to bring about change, amend laws or you have overarching goals. This friendliness and willingness to maintain a dialogue have ultimately helped the entire industry.

And what does this approach look like inside a company? What can radical friendliness do for the culture of a team?

Nora Blum: A friendly team culture boosts motivation, creativity and productivity. This is extremely important, especially amidst the day-to-day stress of a start-up. And here it is worth reiterating: friendliness does not mean shying away from critical feedback. Quite the opposite. Transparency and respectful communication are essential for avoiding conflict.

I myself used to think that being friendly simply meant saying nice things. Today I know this to be a fallacy. True friendliness is shown in the ability to address difficult issues – in a manner that remains fair and respectful.

If you could give your younger self one piece of advice before starting your first company, what would it be?

Nora Blum: Don’t take things too seriously. A relaxed approach really can make the difference.

AI vs. Paperwork – Interview with Mike McCarthy, co-founder of cloudsquid

Last November, cloudsquid announced the closing of its pre-seed funding round led by HTGF. The startup is taking aim at paperwork, using AI agents to help operations teams automate document-heavy workflows. Early customers are transforming critical workflows in accounting, insurance claims and supply chain operations. We sat down with co-founder Mike to talk about the diverse team, their motivation, lessons learned and what’s next for the company.

Your team comes from different backgrounds – what is your common motivation and how do you complement each other?

Mike McCarthy: Our diversity is our strength. I moved to Berlin from the USA, Filip from Poland, and Sang from South Korea. We span Millennial and Gen Z perspectives. This blend helps us approach problems from multiple angles and think differently. I think our shared value is passion and intensity, we’re very lucky to have this opportunity to come together and build this company right now at such an exciting time in technology. We’ve all experienced the challenges of assimilation, building grit and flexibility that’s essential for entrepreneurship.

You have recently launched your product. What was the biggest ‘light bulb moment’ along the way?

Mike McCarthy: Our biggest realisation was about AI adoption in enterprises. Despite the hype, most traditional and Enterprise companies use generative AI superficially. Many vendors force new systems on companies not ready for rapid change. Our approach of solving document workflows between existing systems while letting enterprises maintain familiar processes and tools offers a more realistic path to adoption. Enormous efficiency is lost in these system gaps, it creates the perfect opportunity for AI workflows that weren’t possible before huge gains reasoning and intelligence capabilities.

What are you currently looking for? How can the HTGF network support?

After working selectively with early partners, we’re ready to scale. We would love to speak with companies in the network who are ready to tackle these problems. We’re targeting painful document workflows that were impossible to solve pre-LLMs. For example, extracting data from 150-page PDFs with countless line items in accounts payable processes, where every customer uses different templates. This tedious cross-referencing costs companies millions and no human wants to do it. These are exactly the workflows we’re excited to tackle.

What hurdles did you have to overcome in building cloudsquid that you hadn’t anticipated?

Mike McCarthy: Building on rapidly evolving AI models forces constant reassessment. You must repeatedly question what’s possible and be prepared to pivot overnight. This pushes us to build for the future and think differently. It also challenges conventional wisdom about customer-driven feature development. While customer feedback matters, clients don’t fully grasp AI capabilities today, let alone six months from now. We need to imagine that future for them.

In the pre-seed phase, every decision is important. Which of your early steps proved to be the most valuable?

Mike McCarthy: Our journey included one major pivot and several smaller ones to refine our focus. Pre-seed demands an experimental mindset, testing ideas and gathering market feedback. The worst mistake is committing to an idea that lacks conviction from you or the market. When you find the right problem, customer interactions take on a different energy. 

What led to your pivot?

Mike McCarthy: We followed common advice to pre-sell an idea and build a paid MVP just one month after forming. We spent four months delivering on this project before realising it wasn’t our path forward. For us, this was counterproductive because it limited our flexibility to follow our instincts and the feedback the market gave us. We were locked into delivering on a paid contract. We honoured our commitment but quickly changed direction. The experience did teach us valuable lessons about building AI-first products.

What is your best tip for founders currently in the pre-seed phase?

Mike McCarthy: Be passionate with strong conviction but check your ego when you’re wrong. Adaptability will determine success in this chaotic tech landscape. Fall in love with the problem, not your solution.

Thank you for your time and your insights!

The road to animal-free drug discovery – an interview with Lukas Gaats of mo:re 

mo:re, a Hamburg-based life science startup, is setting new standards in animal-free drug discovery with its innovative laboratory platform that enables the automated planning, cultivation and analysis of complex 3D cell culture models.

With the recently closed €2.3 million seed financing round led by HTGF, mo:re aims to establish organoids as a standard laboratory technique and thus fundamentally change the research and development of new drugs. We sat down with Lukas Gaats, co-founder and CEO of mo:re, to find out how the idea for mo:re came about, what challenges the team has already overcome and what is next on the agenda. 

Lukas, how did you come up with the idea for mo:re? 

The idea came up during my research stay at Queensland University of Technology (QUT). In Professor Hutmacher’s lab, we were working on standardising bioprinting processes, and while talking to various researchers, I realised that the platform had commercial potential. I met my co-founder David during my MBA studies, where we not only learned the business tools but also discovered the joy of starting a company. We wanted that experience and when such a promising technology emerged from my time as a medical engineer, it was the perfect opportunity.  

A solution needs to be validated before it can be brought to market. How did you do this?  

We validated the technology scientifically in the lab and used classic prototyping methods to develop the robot. The most important question we ask when making a design or scientific decision is what the specific result will be and how it will help us achieve our goals. This allowed us to validate the first prototypes and applications in a very focused way, even with modest resources at the beginning. 

You have just completed a seed funding round – what are your next steps? 

We are 100% focused on commercialisation now that we have launched our product in January. It is important to remember that we offer hardware, software and wetware (i.e. the organoids). We can now invest significant resources in the latter area to convince more customers of the merits of our solution. 

 
Every startup faces hurdles. What has been your biggest challenge so far – and how did you overcome it? 

My biggest challenge has been mental: the responsibility, for example for the well-being of our employees, is enormous and it is always important to lead with optimism. I underestimated the mental strain at the beginning. As a management team, we regularly make sure that we stay strong in difficult moments and that no one feels left alone. As we grow, it is nice and reassuring to see that mo:re GmbH is gradually becoming something bigger than the contributions of individuals. 

What lessons have you learned on your journey so far that you would like to share with other founders? 

Never lose perspective! A startup – with all its ups and downs – is an incredible opportunity to grow. Be grateful for that, but also aware of the intensity. Try to get away from it all through hobbies, travel or spending time with friends and family, even if they’re very interested in what’s going on at the startup. This is how I have managed to get through the last two years with passion and joy.  

Thank you, Lukas, for the interesting insights! 

Innovation, Investments, Impact: A Look Back at HTGF’s Biotech Year 2024

To reflect on an extraordinary year in biotech, we sat down with investment professionals Dr. Laura Pedroza, Dr. Frank Hensel, and Dr. Angelika Vlachou from our Life Sciences team. 2024 was a year of major funding rounds and a billion-dollar exit within the HTGF portfolio. At the same time, declining investment appetite in early-stage funding remains a challenge. There were also important political and structural developments. Dr. Angelika Vlachou provides insights into key funding initiatives designed to strengthen Germany as an innovation hub and drive forward groundbreaking technologies like gene and cell therapies.

 
What developments shaped the biotech sector in Germany and Europe in 2024?

Dr. Frank Hensel: 2024 was a strong year for the biotech sector. We saw several major funding rounds, including Catalym and ITM. This trend is also reflected in our HTGF portfolio. In total, more than €800 million in follow-on financing was secured for life sciences startups, particularly through large rounds at Tubulis, Alentis, and SciRhom. It was an absolute record year.

A key factor in this success was the fundraising of large life sciences funds. Our early investments in innovative science and strong founding teams are now paying off. The entire biotech ecosystem is maturing, and more and more companies with solid pipelines are reaching clinical development stages. As a result, they are becoming increasingly attractive to both European and U.S. funds.

Whereas securing follow-on funding used to be a major challenge, we now see a real opportunity to build European champions. This is also supported by the HTGF Opportunity growth fund, launched last year, which aims to provide financial support to selected portfolio companies in later-stage rounds.

Dr. Laura Pedroza: At the same time, we are seeing a countertrend: more and more funds are pulling out of early-stage financing, making pre-seed and seed funding more challenging. Especially financing rounds in the high single-digit million range, which significantly “de-risk” the assets, have become harder to secure.

Since these early-stage companies are the champions of tomorrow, HTGF’s support at this stage lays a solid foundation for the entire market. In 2024, we were involved in about half of all seed funding rounds in Germany!

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Important Initiatives from Germany – Insights from Dr. Angelika Vlachou

Biotechnology is one of the key future technologies playing a central role in Germany. Dr. Angelika Vlachou provides an overview of major initiatives driving progress in areas such as gene and cell therapy, as well as startup support—ranging from GoBio to other significant programs in the field of gene and cell therapies.

In 2024, the German biotech sector secured almost twice as much funding as in the previous year. This year was unique: the VC landscape was characterized by a few exceptionally large financing rounds, while the overall number of rounds—particularly in early-stage funding before Series A—declined, making it increasingly challenging to secure investments. This trend is also reflected in our portfolio.

Beyond groundbreaking innovations and investor capital, building successful companies requires founders with a strong entrepreneurial mindset, professional tech transfer, and experienced managers. Bringing these elements together and fostering their collaboration is essential to turning excellent science into commercial success. Germany has world-class research—but to transform more of it into thriving startups, there is still untapped potential.

A targeted technology-transfer strategy and a forward-looking approach to translation lay the foundation for later market success.
Germany has several outstanding biotech clusters. A key task now is to better connect them and transform them into a powerful European hub and a dynamic startup ecosystem. The relaunch of Go-Bio is a welcome development, as it helps translate ideas from fundamental life sciences research into practical applications. Since last year, Genenovate has been Germany’s first nationwide entrepreneurship program designed to specifically prepare scientists in the field of gene and cell therapies for their role as entrepreneurs. We need more initiatives like this

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What long-term trends and developments have emerged?

Dr. Frank Hensel: Antibody-drug conjugates (ADCs) remain a strong trend. We already had a successful exit with Emergence, and with Tubulis and Alentis, we have key players in our portfolio.

Another central theme in 2024 was immunology. Our early investment in SciRhom back in 2016 is now paying off— the company now has the financial resources to demonstrate efficacy in clinical trials. This clearly shows the strategic value of a diversified portfolio—both in terms of indications and modalities.

Dr. Laura Pedroza: We are also seeing enormous interest in AI-driven solutions. A standout example is the financing round of Aignostics —a flagship project in AI-powered digital pathology with roots inCharité. AI is increasingly establishing itself as a valuable tool in biotech, opening up new possibilities for target discovery and asset development.

Looking at the HTGF portfolio, 2024 saw a billion-dollar exit as well as significant new investments. What made this year special?

Dr. Frank Hensel: Beyond the large funding rounds, the exit of Cardior was, of course, a major highlight for us. Having a second unicorn in the life sciences sector makes us incredibly proud and is a testament to the strength of Germany’s research landscape and the quality of our outstanding founding teams.

Dr. Laura Pedroza: On the new investment side, we backed companies like Umlaut, TQ, Refoxy, TecRegen, and SRTD. We are specifically focusing on n new modalities and biology with high risk but also high potential.
 
 

How has collaboration within the biotech community evolved?

Dr. Laura Pedroza: Strong networking is essential. HTGF and its early-stage consortium partners have successfully engaged not only major European but also U.S. funds. We are also seeing more pan-European teams, which are helping to bring the biotech community even closer together.
 

What advice would you give to aspiring biotech founders?

Dr. Frank Hensel: For founding teams, early engagement with key stakeholders—such as pharmaceutical companies and VC investors—is crucial. We get involved as early as the pre-seed stage by working with tech transfer offices, universities, and research institutes. Our goal is to optimally prepare teams even before they officially launch their startups. Our message is clear: HTGF remains deeply connected to Germany’s strong research ecosystem and supports the transition from cutting-edge science to innovative startups.

A brand-new corporate design for HTGF

We’ve did it! HTGF now has a new design that reflects who we are and what we stand for – and also puts our impressive portfolio centre stage. To mark our 20-year anniversary, we have given ourselves a new brand image.

As a venture capitalist, we have continued to gain experience and expertise as well as enjoying success over the years.

“It was time for us to showcase how far we’ve come. Our new visual identity reflects both the diversity of our portfolio and the breadth of our investment approach. At the same time, it embodies the energy of our team, who are passionate about supporting founders every day as they use their ideas and technologies to change the world,”

explains Managing Director Romy Schnelle.

High-Tech Gründerfonds will not only be operating with a new design in future –  the “HTGF” abbreviation, which has long been established on the international scene, will become a central part of the company’s entire brand communication.

Brand Purpose

The German startup ecosystem has also changed a great deal over the years. As one of the most active seed investors in Europe, HTGF has played a big part in this development. Since 2005, we have been making early-stage investments in tech startups – the international market leaders of tomorrow. We often invest earlier than others to enable cutting-edge technology and pioneering business models to take the next important step right from the pre-seed phase.

“As a VC, this not only means taking risks early on, it also requires an understanding of people above all,”

says Romy Schnelle.

A key aspect of HTGF’s success and the cornerstone of its purpose remains the following guiding principle: “We invest in people”. This crucial message will continue to play a central role in HTGF’s new brand image.

Brand Personality first

We meet entrepreneurs on an equal footing – a simple yet unbeatable recipe for success. This is why some of the most innovative startups in Europe started out with HTGF – because our partners and investment managers have consistently demonstrated their intuition for company founders and the right timing.

“To coincide with the relaunch of the brand, it was important for us to conduct initial analyses of our brand personality. Alongside the numerous perspectives of our team, we also wanted to hear from our portfolio startups,”

explains Claudia Seifert, project lead for the brand relaunch.

To do so, we asked founders from our portfolio about how they see the HTGF brand. The results were impressive. Our brand values are also perceived as vibrant and tangible by our external stakeholders – whether in direct cooperation with our investment professionals or at the HTGF Family Day, our flagship conference.

However, it was also felt that there was a clear need for a design relaunch. The visual appearance of the HTGF brand had fallen short of its potential.

“In addition to choosing an experienced agency to help with the rebranding, it was essential to focus on projecting the brand from the inside out,”

explains Claudia Seifert.

Diversity as a factor for success: tech founders are different

One of our major strengths lies in the diversity of our three investment areas. Our investment teams in the fields of industrial tech, climate & deep tech, life sciences & chemistry and digital tech bring together experts from the worlds of industry, science and research – with in-depth, specific tech know-how, experience in founding companies and an entrepreneurial mindset. Tech startups have very different needs and require specific network support as well as an in-depth understanding of the market in various business fields. We have sought to convey this diversity in our new design through our colourful central visual.

“As a VC, we operate in dynamic structures and markets – just like our startups. Being a startup team means navigating a constant process of transformation. That is why our new design serves as a visual expression of how we are able to adapt quickly and flexibly to new requirements,”

says Stefanie Grüter, Partner Communication & Relations.

In addition to the colourful nature of the new design, a new logo helps to underline HTGF’s standing in the German and European venture capital scene. The logo confidently sets the four letters “HTGF” in black and white, creating a contrasting statement to the dynamic design.

“Variable, free-standing elements help shape the ‘F’ – just like our funds themselves, which are constantly being rejuvenated. At the same time, the typographic logo illustrates the key themes of performance and growth,”

explains Stefanie Grüter.

🚀 Colourful: As diverse as our portfolio. As dynamic as our investment approach. As versatile as our expertise.

⚡ A clear, international logo: Approachable, confident and focused – this is our approach to working with startups, partners and investors in Germany, Europe and on the international stage.

🌍 Brand personality: Familiar, approachable, connected and with a vision for a successful future – we offer more than just capital and investments.

A new home for transparency and openness

HTGF has also found a new physical home to coincide with the launch of the new design and website. With our new office at our headquarters in Bonn, our team will be able to work together even more openly and closely.

“Now we are very much looking forward to bringing the new brand identiy to life for all our stakeholders in the near future,”

says Managing Director Romy Schnelle.

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If you have any questions concerning our new design or the use of our logo, please contact:

Claudia Seifert,
communications@htgf.de

Creating something new with experience: Interview with new HTGF Managing Partner Dr. Achim Plum

Passion for innovation and life sciences – these are the qualities that characterise Dr. Achim Plum. On 1 January 2025, the doctor of genetics joined the management team at High-Tech Gründerfonds (HTGF). With a career of over 25 years in the life sciences sector, he brings in-depth expertise in the field combined with management experience. In this interview, he talks about the lessons learnt from his career, his new role, and the future of the industry.

Welcome, Achim. We are delighted that you joined us as Managing Director on 1 January.

Dr. Achim Plum: I am also very pleased. It has been an intensive first few weeks, but in the best sense of the word. The deal flow at HTGF is impressive, and my colleagues bring an incredible amount of expertise to the table. The team has involved me directly in all important topics – thank you very much for that! This has made it easy for me to familiarise myself with the company and I am looking forward to delving even deeper in the coming weeks, getting to know our great partners and working with the team, our portfolio companies and fund investors to further strengthen the start-up ecosystem and drive innovation.

What is important to you when working together?

Dr. Achim Plum: Personally, I work best in teams with high intrinsic motivation and that have high expectations of themselves. I see my job as developing a clear vision with my team and supporting them in realising this vision together – and having as much fun as possible in the process. Respectful interaction, transparency, and an open corporate culture are essential. It’s about creating an environment in which creativity and performance go hand in hand.

What are you planning to do at HTGF?

Dr. Achim Plum: HTGF is celebrating its 20th anniversary this year and has achieved great things since then. At the same time, I see opportunities and also the need to continuously evolve our value proposition – i.e. our offering for founders and fund investors. We can continue to grow from our strength, support our portfolio even better and increase the added value for founders and partners.

What excites you about your new role at HTGF?

Dr. Achim Plum: As a public-private partnership, HTGF has a clear mandate: to act as a catalyst in the start-up ecosystem and strengthen Germany’s innovative power. The dual role between a public mandate and the ambition to be a financially successful investor makes the task particularly exciting. HTGF’s mission is to finance start-ups with innovative technologies and business models and work with the founders to shape future market leaders. I am thrilled to now contribute to driving this mission – particularly in the life sciences sector, of course, which I will be focussing on. Here we can be proud of our high-calibre start-ups and spectacular exits. I would like to further strengthen and expand our position as “Smart Money for Life Sciences”.

You mentioned life sciences: Your background is in this field.

Dr. Achim Plum: Indeed. I have a PhD in genetics and have been working in the life sciences industry for 25 years. I have got to know companies in the early and growth phases as well as large technology conglomerates. Along the way, I have learnt about many innovative technologies and business models, built up, restructured and – unfortunately sometimes – liquidated companies. These experiences have shown me what the needs of start-ups but also established companies really are and how to structure productive collaborations between them.

And during this time, you also accompanied two IPOs. How do you think we are doing in Germany in this area?

Dr. Achim Plum: The German capital market is still quite risk-averse, which makes it less dynamic in some areas. Another point is that large pension funds, which often play a central role in other countries, are missing as important market players in Germany. Although the market works well for revenue-driven and, in particular, profit-driven equity stories, it is more difficult for companies in the life sciences sector. These companies are often very capital-intensive, as they must finance clinical trials or operate in a highly regulated and conservative environment. Particularly in early, high-risk development phases, at some point their only option is an initial public offering (IPO) – e.g. when there is not yet a pharma company as development partner or acquirer available. Such IPOs may still work quite well on Nasdaq, but not so much in Europe. If shareholders of an R&D-driven technology company expect dividend payments immediately after going public, management knows that it is listed on the wrong stock exchange… However, I am optimistic that the attitude will improve in Germany… and it has to.

In your previous positions, you have familiarised yourself with the financing prospects of companies at all stages of development. Would you like to share a few learnings with us?

Dr. Achim Plum: There are a few pieces of wisdom that I’ve picked up along the way, but they never get old:

Go for Smart Money, not Easy Money

Listen, Listen, Listen & Learn

Funding follows

Stay focused & deliver

This actually all relates to the collaboration between start-ups and corporates. What is your experience in this area?

Dr. Achim Plum: The biggest challenge is often mutual understanding. Often enough the term “lost in translation” applies. The cultures and general conditions are often very different. Since I know both sides, I have learnt how to build bridges. Today, corporations are already much better positioned to work with start-ups. Insourcing – the integration of innovative technologies – is now the standard rather than the exception. The work of HTGF contributes to this. We bring start-ups together with SMEs and large corporations and thus create added value for all parties involved at many points along the value chain in the form of collaborations or M&A.

What are your tips for founders in the life sciences sector

Dr. Achim Plum: In a nutshell: excellent science is the key – but it alone is not enough; don’t look for problems for your solution, develop solutions for real problems; have the courage to be the dumbest in your team.

Where do we currently stand in the life sciences sector? What developments stand out to you in particular?

Dr. Achim Plum: Thanks to modern high-throughput technologies, we can now generate huge amounts of high-resolution biological data very cost-effectively. Coupled with advanced methods of data analysis and AI, this makes it possible, for example, to better understand disease mechanisms and derive new therapeutic approaches and develop them more efficiently. These therapies can be realised as classic small molecule drugs, biologicals, or (stem) cell therapies. Genome editing opens completely new possibilities in gene therapy.  In addition, we will see more and more decision-support systems in medical diagnostics that are based on large, heterogeneous data sets and whose algorithms were developed with the help of AI, but which will also contain active AI in the future.

And if we look even further into the future – what do you see in the long term?

Dr. Achim Plum: In the long term, I see big potential in synthetic biology. It could help us to overcome major challenges such as climate change or the transition to a more sustainable economy. At the same time, medical technology will continue to advance. Just think of intelligent implants, innovative human-machine interfaces or implantable biosensors, which could enable early and optimised medical interventions.

In conclusion: When you’re not working intensively with the start-up ecosystem and the future of life science, what do you do?

Dr. Achim Plum: You mean in my private life? I’m a passionate photographer, enjoy cooking for my partner and friends, enjoy the cultural events on offer in Berlin, Cologne and Bonn and like to travel a lot. But I also enjoy reading a good book in front of the fireplace with a good glass of red wine.

HTGF in 2024 – a year of new records in a challenging environment plus major changes

A record level of follow-on financing, start-ups with billion-euro valuations, and a challenging economic environment – these are the main takeaways of the year 2024 for the High-Tech Gründerfonds leadership team. In this interview, Romy Schnelle and Dr. Alex von Frankenberg take a look back at an eventful 12 months.

2024 has been a year of change for HTGF.

Romy Schnelle: It certainly has. 2024 was an extremely dynamic year with lots of positive developments, but also some major changes. A significant change was of course the departure of Guido Schlitzer, who is stepping down as Co-Managing Director. We’d like to take this opportunity to once again thank Guido for his time at HTGF.

Alex von Frankenberg: At the same time, we’re also really looking forward to working with Dr. Achim Plum. He has a wealth of experience in the life sciences, having helped to develop a number of early- and growth-stage companies and overseeing two IPOs. We are delighted that he’ll he starting his new role right away on 1 January as we take the next steps on our journey together.

2024 was a challenging year economically. How did HTGF fare in this environment?

Alex von Frankenberg: We had a very successful year. We were once again one of the most active early-stage investors in Germany and Europe. And we also set a new record for follow-on financing, with our portfolio companies securing over €1 billion in funding from investors in follow-on rounds in 2024. This shows that capital is still available. Making sure it ends up in the hands of the right companies is really important. Our portfolio is in a good position in this respect, and we’ve seen how our start-ups have been able to deliver in challenging times, too.

Romy Schnelle: It was not an easy year by any stretch of the imagination, but it showed what we can accomplish as a team. Despite the challenging conditions, we’ve achieved a great deal together with our fund investors and portfolio companies. And for that we’d like to say a big thank you to our team and our partners.

What’s the mood like among start-ups in view of the economic challenges?

Romy Schnelle: Many start-ups are of course feeling the effects of the current framework conditions. They’re facing challenges in the B2B space in particular, such as in customer acquisition, as companies have generally become more cautious. In addition, many start-ups are noticing that investors have become more selective in follow-on financing rounds – despite there being a lot of capital in the market.

Alex von Frankenberg: Focus is key. Especially when faced with challenging market conditions, it’s clear just how important capital efficiency, a clear product focus and good management are. The best teams are able to deliver in these sorts of times, too, and secure solid levels of financing. And the past has shown that many of the most successful companies around were established during times of crisis.

What trends do you currently see in the HTGF portfolio?

Alex von Frankenberg: Climate tech and energy are big topics. A good example to mention here is our portfolio company Proxima Fusion, which is working on remarkable ways to generate clean energy using fusion power. They secured €20 million in seed financing in April. The company is building on the ground-breaking results from the Wendelstein 7-X (W7-X) experimental reactor, which is the world’s largest stellarator. It was built by the Max Planck Institute for Plasma Physics (IPP) and has received €1.3 billion in investment from the German federal government and the European Union.

Romy Schnelle: We’ve also seen some exciting developments in other areas. Plancraft, a software solutions provider for tradespeople, and doinstruct, a digital training platform for industry, have recently made impressive progress and have been able to attract investors such as Creandum.

Alex von Frankenberg: Portfolio companies in the life science industry have also been very successful, having completed major financing rounds – including in later-stage growth phases. Take Tubulis, for example, a company that develops antibody drug conjugates to treat cancer, or SciRhom, which specialises in the treatment of autoimmune diseases.

Romy Schnelle: That’s why it’s important that, thanks to the Opportunity Fund, we are able to support start-ups from our portfolio in later-stage financing rounds as well, with funding of up to €30 million in the growth phase. One of the first start-ups that we’ve financed through this channel is Aignostics, which is developing an AI model for pathology. It has the potential to offer more targeted therapies and shorten development cycles in the pharmaceuticals industry.

The Cardior exit at the start of the year was a great success. What made it so special?

Romy Schnelle: Cardior develops RNA-based therapeutics to prevent, repair and reverse diseases of the heart. The company was acquired by Novo Nordisk. With a valuation of up to €1.025 billion, it marked a huge success for the team as well as a major step forward for research in this field. It shows how important German start-ups can be on the global stage – as well as the valuable benefits they deliver for patients and science.

HTGF also has a new German unicorn in its portfolio, EGYM. How did it become such a success?

Alex von Frankenberg: I’ve been supporting EGYM for over 10 years as an investment manager, and the team has achieved really great things in the past few years. The pandemic brought about some major challenges, but they responded in a smart way. In setting up the business unit “Wellpass”, they provide companies with corporate fitness offerings for their staff. This step was an important decision. Today, EGYM continues to grow and is profitable. I am certain that this success story is far from over.

HTGF will be celebrating its 20-year anniversary in 2025. How has the start-up ecosystem changed during that time?

Romy Schnelle: The ecosystem is now a lot more professional. Founders are more confident and faster in realizing their ideas, which makes them bolder. At the same time, the importance of start-ups within the macroeconomic context has skyrocketed.

Alex von Frankenberg: I couldn’t agree more. The concepts are more mature, and the companies are less prone to making mistakes. And even when mistakes do happen, the effects are easier to absorb due to the higher level of financing. In the past, start-ups tended to be more fragile, but today, even young companies have a really solid set-up.

What can we expect to see in 2025, HTGF’s anniversary year?

Romy Schnelle: 2025 will be a special year for us. To mark our 20-year anniversary, we’re planning a special Family Day in Berlin with an even greater focus on networking – as well as a big birthday party, of course. At the same time, we are working flat out to prepare our fifth fund – a clear signal that we plan to invest in pioneering start-ups in the long term.

Alex von Frankenberg: 2025 offers a great many opportunities – both for HTGF and the start-up ecosystem as a whole. I hope we’ll see more economic and political stability. Stability is also important for HTGF – and it’s something we’ll make sure to maintain when my contract comes to an end next year, as already announced. I have every confidence that the team and the new leadership team will continue and build on what has been a great success story. In the coming months, we’ll be working on steering HTGF towards this new phase. The successes we’ve seen over the past 20 years are testament to the extraordinary technology and start-up potential in Germany.

Scavenger AI: The Smart Solution for Data-Driven Decisions in Business

The world of data analysis is often complex and resource intensive. The AI startup Scavenger AI aims to change this by helping companies derive valuable insights from their overwhelming data streams. We sat down with founders Felix Beissel and Maximilian Hahnenkamp to learn more about their vision, the challenges they faced, and their recent market launch.

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How did the idea for Scavenger AI come about? What inspired you?

Maximilian: Felix and I both previously worked in large corporations, where we saw how cumbersome it is to work with the abundance of available data. Everyone says it’s crucial to leverage data for decision-making, but very few actually do it. Often, there’s a lack of time, resources, or technical know-how to dive into the data flood and generate valuable insights. This is a huge problem for data-reliant companies. We thought there had to be a simpler way, so we built a small prototype and saw it worked. That’s when we decided to start while we were still studying in Milan.

How do companies benefit from Scavenger AI?

Felix: In our previous organizations, maybe five percent of people could handle databases. With our software, we make that accessible to 100 percent. Anyone can use Scavenger AI to query the database. On top of that, we provide concrete action recommendations for each query. We automate tasks that were previously done by consultants or data analysts. This saves companies a lot of time and money while delivering better analytical results. Our customers especially value this in areas like supply chain, planning, product strategy, and manufacturing.

You won awards shortly after founding the company in late 2023 and secured a pre-seed funding round led by HTGF in early 2024. How did you experience the early days, and what has happened since the funding round?

Felix: The initial focus was on gaining traction. Even before the pre-seed round, we were in contact with industry players to get feedback on our MVP. The funding allowed us to expand the team, build the product and we’re very grateful for that. Our success hinges on having a strong team, particularly in software development. Our Founders’ Associate Anna, who has been supporting us on all fronts since the summer, has played a major role in helping us win more customers.

Maximilian: We’re now a team of 12, spread across globally, with locations in Vienna, Milan and Germany. We have coworking spaces in Cologne and are officially founded in Frankfurt. Long-term, we aim to bring everyone closer together and set up our own office. Currently, we’re looking for a Data Scientist as well as support in Business Development and Sales. Interested candidates can reach out to us directly.

You’ve quickly gained initial customers and recently announced your market entry.

Felix: Before entering the market, we worked closely with customers and prepared thoroughly. It was a natural process: we launched our software with a pilot customer who then used it, and more customers followed quickly. What was particularly important was conducting over 300 interviews beforehand, ensuring we developed the product to meet their needs.

Maximilian: And our solution is quick to implement for customers. We usually say one to two weeks. In individual cases, it takes longer, but often it’s even faster.

What’s next on your agenda after the market launch?

Maximilian: The primary goals are acquiring more customers and further developing our product. Product development remains central to staying competitive. We’re also focused on successfully securing our seed round next year. We need to hit the right numbers to ensure a successful funding round.

Felix: On the product side, we see increasing competition, but it tends to focus more on the technical perspective rather than addressing the needs of industrial users. Our opportunity lies in offering a tool that better addresses the specific challenges of mid-sized companies. That’s where we excel, as we solve their problems effectively and offer significant value. Our solution is equally beneficial for large corporations, and it’s currently being tested by several, including a major telecommunications provider.

What are your tips for founders in the early stages?

Maximilian: Two key points: First, approach customers as early as possible, even without a finished product, and try to sell what you have in mind. That’s the only way to learn what they truly value. Second, a pragmatic approach is crucial. You have to take action, do a lot of groundwork, and stay consistent. That’s what ultimately leads to success.

Felix: In my opinion, it’s very difficult to establish and build a company while pursuing another job on the side. It’s also important to seek advice and leverage your network. We have many smart people around us who are always happy to support and help us.

Thank you for your time and valuable insights!

Plastic waste and the circular economy: an interview with Maike Lambarth and Dominik Novakovic from Cyclize

The HTGF portfolio company Cyclize recycles plastic waste using CO₂ to produce synthesis gas for chemical processes. In this interview, co-founders Maike Lambarth and Dominik Novakovic share their experiences and challenges in founding the climate tech company. They talk about how it all started – from an initial idea to the construction of a large test facility. They also have some valuable tips for founders, the most important of which are to keep going and have a good team ethic.

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How did you come up with the idea of Cyclize and get the company started?

Maike Lambarth: At the University of Stuttgart, we worked on a project focused on producing marine diesel oil from CO₂. Our role in the project was to develop a plasma reactor for splitting CO₂. Stephan Renninger, our current CTO, began with this work in autumn 2018 and I joined at the start of 2019.

We were both scientific employees with a background in engineering and had little experience with plasma at that point in time. This actually proved to be an advantage, as we were able to come at the topic without any fixed ideas and pursue an unconventional approach. Roughly one year later, we were joined by Jan Stein, who later became a co-founder. He started out as a student and did some fantastic work right from the off. Once the research project had ended, we came to the conclusion that, while splitting CO₂ worked very well on a technical level, it was not an economically viable option – neither at that time or in the foreseeable future – due to the large amount of energy required to ultimately produce diesel.

However, we knew that we could recycle carbon with our very efficient plasma reactor. The question was therefore whether it could be used for a different economic application. Stephan ultimately came up with the idea of using plastic waste. This had two crucial advantages. We obtained, on the one hand, an additional source of carbon and, on the other hand, a source of energy. This significantly reduced the amount of electrical energy required, making the process economically viable under current market conditions. And the idea for Cyclize was born!

And then you joined the team, Dominik.

Dominik Novakovic: That’s right! There was the question of which funding opportunities were best suited to take the technology from research to application. While applying for the EXIST Transfer of Research programme, it became clear that the team needed someone with business know-how – and so I joined in 2022. We started out with funding from the EXIST Transfer of Research programme, which helped us to achieve many technical milestones, shape us as a team and generate a lot of market interest. This ultimately led us to found the company in 2023.

Your target market is the chemical industry. How is this industry profiting from your solution?

Maike Lambarth: To “cyclize” means forming a ring from a carbon chain. With Cyclize, we can cover three aspects. Firstly, we can replace fossil fuels such as natural gas by producing synthesis gas, which then serves as a building block for many different products. Secondly, we can recycle carbon and thus utilize plastic waste that previously could not be recycled. And there is also no need for a pre-sorting process, as we can simply recycle mixed, glued or coated plastics as well as plastics filled with other materials. Our process produces gas that is easier to clean than liquid products. Thirdly, in addition to plastic waste, we can also recycle CO₂ and use it to produce new plastic products. This capability is rare, as most technologies are only able to split and store CO₂, not utilize it as a raw material.

Dominik Novakovic: Another crucial factor for scaling our solution in the chemical industry is the economic viability of the process. The chemical industry faces considerable challenges, particularly with regard to CO₂ emissions and the use of fossil fuels. Our solution offers a process that can compete with existing solutions in terms of costs and thus play a fundamental role in the future chemical industry.

We have seen in the industry that there is huge pressure to develop processes that are not based on fossil fuels. There is also a demand for solutions that are economically competitive. Our technology can fulfil these requirements. It is not only important to offer a process, but to also ensure that the solution is scalable and marketable.

How did you cross paths with HTGF?

Dominik Novakovic: German start-ups in the hardware sector are well aware of HTGF. We made contact at an early stage. A crucial meeting then took place at Chemistry Pitch Day 2023. The team has comprehensive expertise and really knows how to establish and scale successful hardware companies. We are very happy that HTGF is now part of our journey.

Speaking of scaling up, what are you currently focused on and what are the next challenges?

Maike Lambarth: We offer a series of tests with our demonstrator at the University of Stuttgart. Companies are faced with the challenge of circularity and achieving net zero for their existing products. And we have the perfect solution. Companies send us either industrial waste or end-of-life products that they want to recycle in future. The aim is to test to what extent our technology represents a cost-effective solution.

In addition, we are currently working on putting into operation a much larger demonstrator that is already running semi-continuously in an industrial environment. The University of Stuttgart offers an outstanding infrastructure with its research power station. From 2025, our major task is to set up the first pilot plant in a chemical park. This will form the foundation for our first commercial chemical facility in the industrial environment of a chemical park.

So, there’s a lot to do. Are you currently looking to strengthen your team?

Dominik Novakovic: We have already grown a lot in our first year and are now an interdisciplinary team of over ten colleagues. We are always on the lookout for people who can offer expertise and experience in our field and help us to defossilize the chemical industry.

What would be your three tips for future company founders in the hardware sector?

Maike Lambarth: My first tip would be to not become discouraged. You encounter a lot of pessimism in the hardware sector. People often told us that it wouldn’t work out, that we needed too much money and the technology would be difficult to scale. Despite these warnings, we concluded a very successful seed funding round, raising over €4.75 million and receiving numerous inquiries from the market. You should therefore do things your own way and believe in your vision.

Dominik Novakovic: My advice is to learn from the experience of others. So many people have tried to establish a company – some have succeeded, and others have failed. Their experience is valuable and can help you to find your own path. You should have a concrete idea in mind, but also be open to the expertise and experience of others.

Maike Lambarth: And our third tip is that it is important to invest time in your team. This is something that companies don’t always get right. We quickly learned that it is important to regularly get together and talk about non-work-related matters.

Thank you for your fascinating insights!

This is how we did it – Episode 6 with Maximilian Webers, Co-Founder & CEO of COLIPI

COLIPI is developing an industrial biotechnological process to convert climate-damaging CO2 and carbon-containing industrial waste into climate-neutral oil. The product is a sustainable and climate-neutral alternative to palm oil and petroleum and has the potential to become the world’s fastest and thus most cost-effective CO2-transforming bioprocess.

In our interview, Maximilian Webers, Co-Founder & CEO of COLIPI, talks about the climate crisis as an opportunity for new solutions, about taking the plunge or being thrown in at the deep end, and about enjoying the founding experience despite the challenges and the great personal responsibility.

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What was your biggest learning from that time?
Everything takes time, especially for high-tech non-software-based start-ups. There is always a way and there are always paying customers if you can sell.

What perhaps unexpected developments or challenges did you experience in the early days, and how did you respond as a team?
Our EXIST funding will continue through November 2024. Initially, we were determined to stay at the TU Hamburg and use its resources until then. But when the COLIPI project grew faster than expected and we ran out of space, we were asked to move. So, we were thrown in at the deep end earlier than expected when it came to finding a space and setting up a laboratory. But what can you do? We rolled up our sleeves as a team, accepted the new reality and have been sitting in our own offices and laboratories since the beginning of 2024. It was a great team effort. We are very proud of that.

What should founders pay particular attention to when they start a start-up now?
There is so much to pay attention to, and it is so dependent on the situation. But perhaps I can say that you should be prepared for it to be hard work and a big part of your life. Joy and frustration are close together and there is little in between. Complaining about everything won’t help, as the founders are responsible for success. Whether it’s a supplier delivering late or someone unexpectedly quitting or something similar, no one out there cares about that. The only thing that is seen and that counts is financial success. Investors must make more money with start-ups than with other financial investments to justify the comparatively high risk.

Is there anything else you would like to share with our readers?
Enjoy the start-up phase. It will be the time of your life. Be grateful for every experience, whether it feels good or bad, it will always help you grow.

Cultimate Foods: Interview with Eugenia Sagué on the Future of Meat Alternatives

We sat down with Eugenia Sagué, co-founder and CEO of Cultimate Foods, to learn more about the food tech company based in Hannover and Berlin, and the next generation of meat alternatives. Eugenia provides fascinating insights into the inspiration behind the company’s founding, the technology of their products, and the challenges they face in development and scaling.

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Can you tell us more about the technology behind your products?

Eugenia Sagué: Our CultiFat is a cultivated ingredient made with cell-cultivated animal fat cells (porcine and bovine fat cells). It offers a natural lipid profile that enhances the flavour and juiciness of plant-based meat alternatives even in small amounts. This minimises unwanted flavours and supports clean-label formulations, i.e. food products with transparent, short and comprehensible lists of ingredients, by replacing additives and enabling seamless integration into existing production processes.

What challenges do you face in the development and scaling of your products?

Eugenia Sagué: The biggest challenges in scaling up our products are the high costs of cell culture media and the design of bioprocesses. Culture media account for more than 30% of production costs. They must be food-grade, animal-friendly and economical. This means striking a balance between costs and the needs of the cells.

Uncertainties regarding innovation, regulatory approvals and the need for partnerships with specialised companies pose a risk. To overcome this challenge, it is necessary to work with media experts, focus on tailored media formulations (adapted to specific cell types) and eliminate non-essential components that drive up costs.

Scaling up from 1-litre to 10,000-litre bioreactors is anything but easy. If that doesn’t work, we could also pursue a ‘scale-out’ strategy with smaller bioreactors, while maintaining the cell metrics for greater efficiency. And to overcome these challenges, we need pilot validations and must also take advantage of advances in cell technology.

How do you see the future of meat alternatives?

Eugenia Sagué: I believe that hybrid products will dominate the market soon. Plant-based products will be refined with cultivated animal fat as a flavour carrier. The ingredient we are developing, based on cultivated fat, could play a central role in these new products.

What advice would you give to aspiring entrepreneurs in the food technology sector?

Eugenia Sagué: Follow your passion—that’s my most important piece of advice!

This is how we did it – Episode 5 with Lea Frank, Co-Founder and CEO of anybill

In December 2019, Lea Frank and Tobias Gubo co-founded anybill to build a modern solution for the obligation to issue receipts, which came into force in Germany at the beginning of 2020. anybill used the momentum to drive digitalisation and connectivity at the point of sale: the digital receipt was born. Today, the digital receipt is not only a reason for greater sustainability for many retail companies, but also a valuable marketing tool.

In our ‘This is how we did it’ series, we spoke to Lea about her start-up experience. The Covid pandemic has presented anybill with challenges but is also helping to drive acceptance of the product. Lea talks about remote work and team spirit, the right focus in times of crisis and adapting to changing conditions.

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What perhaps unexpected developments or challenges did you experience in the initial phase, and how did you react to them as a team?

We hired our first employees in March 2020 – right at the start of the Covid crisis. Of course, we all started working remotely back then, but that wasn’t a problem at all, as we all know that this works very well in these times. As soon as on-site meetings were possible again, we met regularly on site. Since then, we have mainly worked in the office and occasionally from home. However, the majority of the team regularly comes to the office. It is precisely this team spirit that makes us special.

What should founders pay particular attention to when setting up a start-up now?

Think very carefully about which path you want to take, in particular which form of financing suits your own business (e.g. bootstrapped or VC financed), position yourself as capital-efficiently as possible and always maintain your focus.

Is there anything else you would like to share with our readers?

Invest in your network and in as much dialogue as possible with experienced entrepreneurs.

From research to market: Phytonics’ breakthrough in photovoltaics 

The global energy transition needs innovative technologies. Among the up-and-coming start-ups in this field is the HTGF portfolio company Phytonics. The KIT spin-off recently launched a self-adhesive film for anti-glare solar modules. This allows solar panels to be used in areas that were previously unused due to glare problems. In this interview, co-founder Ruben Hünig provides insights into the history of the start-up and the challenges involved in launching the product on the market. He also shares his most important learnings from the founding phase. 

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Ruben, how did the idea for Phytonics come about? What drives you and what is your vision? 

During my doctoral studies, I looked at various optical concepts to find out how light in solar cells can be converted into electricity more efficiently. By chance, I attended a lecture by biologist Anna Schulte, who is a member of the well-known research group that has researched and publicised the lotus effect, for example. Her lecture was about the optical properties of various plant surfaces, which are based on a wide variety of micro- and nanostructures. After that, we went to the laboratory and used an impression process to transfer various plant surface structures to solar cells. The results, especially with rose petals, were so good that I initially had doubts about the accuracy of the measurements. However, they were reproducible and confirmed in various experiments. Together with my co-founders Benjamin and Raphael, who were working on the topic as master students at the time, and my long-time friend Moritz, who had already successfully founded another HTGF start-up, we developed the idea of how we could turn this into a commercial product.  
It then took another three years before Benjamin succeeded in upscaling the microstructure in his dissertation and transferring it to real, small solar modules. The results in the open field were so good that it would have been a shame to let them disappear in a drawer. So in the summer of 2019, the decision was made to found a company to sell a bionic, microstructured polymer film for solar modules to increase the energy yield. From the outset, our vision was to make a decisive contribution to the energy transition. 

And what challenges did the market launch bring with it?

One important lesson we had to learn on our way to the market was that almost no one is willing to actually spend money on additional electricity. To make matters worse, module prices have fallen sharply. A two-square-metre solar module with an output of 430W now costs less than 50 euros. Even with an additional yield of 10%, this does not result in a cost-covering surcharge for a coating, or only with truly large-scale production.  
However, the nice side effect of our technology is that significantly less light is reflected, which means that the modules are glare-free. That’s what customers really jumped on, which is why we have also geared our product precisely to the anti-glare segment. Our film is an enabler, because it is only through it that our customers can use solar energy. So the question is not whether there is a few percent more yield, but whether you have 0% or 100% yield. This also results in a higher willingness to pay, which enables us to cover our costs. At the same time, the contribution that our product makes to the energy transition is significantly greater than a few percent more yield. 
Many customers find us through their own research because they urgently need a solution. However, it remains a challenge for us to inform the market that there is now an answer to the glare problem. This means that we have to become better known among the glare assessors, engineering firms, module dealers, installers, architects, etc., so that our solution is taken into account in the planning of PV systems. At the same time, it is of course important to be able to offer the film at a lower and lower cost through economies of scale. These are currently our two main topics. 

What are the next steps and goals for Phytonics?

We have been on the market for two months now and are doing good business. Our next goal is to make ourselves known in the market and get into the mainstream. To do that, we want to market our film directly to module manufacturers. Unfortunately, the PV industry in Europe is now very limited. That’s why we will work with PV manufacturers outside Europe. 

What advice would you give to founders who are just starting out?

If I could give 2019 Ruben any advice today, it would be these three things above all: First, talk to potential customers as early as possible and take their feedback seriously. Second, get experienced external partners to do as much as possible, even if it costs money. And third, question your beliefs and throw them overboard if necessary. 

Thank you for the exciting insights, Ruben! 

Against the tide – HTGF portfolio SciRhom company rewarded for courage with EUR 63 million Series A financing

In July, HTGF portfolio company SciRhom announced one of the largest financing rounds in German biotechnology this year and will soon begin clinical trials of its first drug. The company’s unique therapeutic approach targets a central node of the immune system. In this interview, company co-founder and current SciRhom Managing Director and COO Jens Ruhe, his Co-Managing Director and CEO Jan Poth and Frank Hensel, Principal at HTGF, provide insights into the collaboration that has been in place since 2016 and the next milestones for the company.

SciRhom began with a scientific speculation that was not without controversy. What exactly was it about?

Jens Ruhe: Contrary to the prevailing opinion at the time the company was founded, SciRhom decided to pursue a novel approach against autoimmune diseases with a therapeutic antibody directed against iRhom2. Antibodies react with structures on the surface of cells. However, the conventional wisdom was that the processes we are targeting take place entirely inside the cells and are therefore beyond the reach of an antibody. We, and above all our scientific co-founder Carl Blobel, who established the foundations of SciRhom’s approach at a renowned US research institute, were of a different opinion. In this respect, SciRhom was indeed swimming against the tide in the founding phase.

Jan Poth: I was impressed by the courage of the founding team when I joined SciRhom from Boehringer Ingelheim in 2022 – and I still am. This early positioning allowed us, among other things, to establish broad patent protection for the therapeutic strategy developed by SciRhom. This is a potential competitive advantage for a fully developed drug. In addition, years of very meticulous scientific work have gone into identifying and characterising this antibody and underpinning it with positive test results.

How did HTGF get involved and what convinced the team to take this risk?

The other important deciding factor was clearly the quality and experience of the SciRhom team. Jens and his co-founder Matthias Schneider had already gone through the entire value chain as part of a previous start-up – U3 Pharma AG. U3 Pharma emerged from the laboratory of Professor Axel Ullrich at the Max Planck Institute of Biochemistry. Here, too, the team developed therapeutic antibodies through clinical trials. And in 2008, U3 was acquired by the pharmaceutical company Daiichi Sankyo for around 150 million euros. So we knew that the SciRhom team had what it takes to master this challenge a second time. And such serial founders are very important for the sustainable growth of the German biotechnology sector.

Jens Ruhe: Interestingly, our team’s background also had a disadvantage. As SciRhom was not a classic university spin-off and our team already had many years of development experience, some of the usual funding pots for start-up teams were not accessible to us. This made the question of whether HTGF would get involved as an early-stage investor even more decisive. A “yes” from HTGF acted as an important nucleus for approaching and attracting the interest of other early investors. I therefore still remember our first visit to Bonn very clearly – and how impressed we were as founders that there were knowledgeable experts on the investor’s side who were able to evaluate our idea in a well-founded manner.

If SciRhom is successful with its approach, what could this mean for patients with autoimmune diseases?

Jan Poth: In autoimmune diseases, put simply, the immune system mistakenly attacks the body’s own tissue. Over the last two decades, several new drugs have been launched on the market for these diseases. As a rule, these drugs target precisely one area to alleviate disease symptoms or slow down the progression of the disease. However, daily practice shows that a kind of glass ceiling has been reached regarding their effectiveness. The therapeutic benefit for the patient can no longer be increased with this paradigm, so a new one is needed.

With iRhom2, SciRhom’s approach targets a molecule that is located at the interface or, in a certain sense, at the origin of several disease-promoting processes, and thus promises significant advantages. However, if you want to address such a junction, you have to proceed very specifically and very carefully so that only the processes you intend to influence are affected and side effects are minimised or excluded.

In June 2024, SciRhom closed a new financing round with €63 million. HTGF participated again, as did six national and international venture capital funds. What will the fresh capital enable the company to do?

Jens Ruhe: We can continue and intensify our research and development activities. In principle, we had everything in place for the start of the first of three clinical phases. The regulatory authorities have given their approval for the clinical trial plan, a renowned clinical centre in Austria is acting as a partner and an established molecular biomarker is helping to prove the basic mechanism of action of our antibody in humans. When the first phase is expected to begin in the coming weeks, SciRhom will have reached a historic milestone. With the new funding, we now want to carry out this study, further substantiate the safety of the active substance and then provide clinical proof of efficacy in two patient populations in further studies. Achieving this will naturally increase the value of the development candidate and thus the value of the company many times over.

How would the HTGF categorise SciRhom funding in a national and international context?

Frank Hensel: The financing is one of the biggest rounds on the European stage this year and in several recent years, actually. The consortium is broadly based and highly qualified with the new investors Andera Partners, Wellington Partners, Hadean Ventures, MIG Capital, Kurma Partners and Bayern Kapital. The fact that SciRhom was sufficiently financed to bring its active ingredient to clinical maturity was certainly a clear advantage.

After last year’s somewhat difficult financing situation for the German biotech sector, things are looking more positive again this year. In addition to SciRhom, companies such as our portfolio company Tubulis and the cancer specialists CatalYm and ITM have each raised three-digit million euro sums from venture capital funds. On the exit side, 2024 is also already a good year, as we can see from the acquisition of the HTGF portfolio company Cardior Pharmaceuticals by the Danish pharmaceutical group Novo Nordisk, for example. Novo is acquiring Cardior for an amount of up to €1.025 billion if certain development and commercial milestones are reached.

Overall, the SciRhom funding fits in well with the current upward trend and increasing maturity of the sector. And SciRhom shows once again that there is excellent science in Germany and that such innovations can also attract investors.

SciRhom is opening a new chapter with the Series A financing. What would an interim conclusion look like?

Jan Poth: For me, this story is a prime example of how biotech start-ups work best. A founding team that is absolutely convinced of the science meets an investor who can assess the risk but is not afraid of it. Motivated by the HTGF seal of approval, private investors participate in the start-up and in subsequent rounds. HTGF thus acts a bit like a talent factory in sport – with the right nose to recognise the complete player of tomorrow in a young talent.

Jens Ruhe: In recent years, we have optimised and characterised our therapeutic agent, found cooperation partners to produce it in larger quantities, built up strong patent protection and much more. Now it’s time to take the next important steps and bring our approach into clinical trials, and thus closer to patients who need better treatment options. Without HTGF, this first phase of the company’s history would certainly have been more arduous and may not have progressed as far.

And for the HTGF? Has the project thus reached a “happy end?”

Frank Hensel: “Happy” yes, but we’re certainly not at the end yet. The role of HTGF naturally changes after such a financing round, but we continue to support SciRhom. Such successes enable us to initiate new activities and certainly give us a little personal “push.”

To summarise, I would say that we have once again succeeded in supporting a biopharmaceutical start-up from the concept phase through to clinical trials of the first active ingredient – now one of almost 20 cases in our portfolio. And with a cumulative investment sum that is comparable to the research expenditure that pharmaceutical companies also have to spend on such a balance sheet. Such cases are therefore further confirmation that HTGF can also be a driver of medical progress.

Thank you very much for these exciting and valuable insights!