KTH Holding
Description
KTH Holding AB is a state-owned limited liability company based in Stockholm, Sweden, operating as a wholly-owned subsidiary of KTH Royal Institute of Technology. Its core mission is distinct from a traditional venture capital fund; instead, KTH Holding serves as the university's primary vehicle for managing its equity ownership in companies that commercialize research results and innovations originating from KTH. This strategic role ensures the university's long-term participation in the success of its intellectual property, rather than acting as an external investor seeking diverse portfolio companies.
The entity works in close collaboration with KTH Innovation, the university's dedicated innovation support system. KTH Innovation assists researchers and students in transforming their ideas into viable businesses, providing resources such as coaching, business development support, and initial pre-seed funding. While KTH Innovation might offer grants or small loans (e.g., up to 300,000 SEK, approximately $28,000 USD, for early-stage projects), KTH Holding's involvement typically begins when the university takes an equity stake in these spin-off companies, often in exchange for intellectual property or as part of the initial capitalization.
KTH Holding's portfolio is substantial, comprising over 100 companies that have emerged from KTH's research ecosystem. As of 2022, the total portfolio value managed by KTH Holding AB was reported to be SEK 2.5 billion, equivalent to approximately $230 million USD. These companies are predominantly deep-tech ventures, spanning critical sectors such as sustainable energy, advanced materials, information and communication technology, and life sciences, reflecting the strong research capabilities of KTH. The focus is on fostering the growth of these KTH-originated companies, with KTH Holding potentially participating in follow-on funding rounds to maintain its equity position as these companies mature and attract significant external capital. In 2022 alone, KTH spin-offs facilitated by KTH Innovation attracted SEK 1.4 billion (approximately $130 million USD) in external capital, highlighting the ecosystem's success in commercializing university research.
This structure positions KTH Holding as a strategic partner for KTH spin-offs, deeply integrated into the university's innovation pipeline. Its primary objective is to maximize the societal and economic impact of KTH's research by ensuring the successful commercialization and growth of its spin-off companies, rather than operating with the typical fund-raising and deployment cycles of a conventional venture capital firm.
Investor Profile
KTH Holding has backed more than 67 startups, with 0 new investments in the last 12 months alone. The firm has led 9 rounds, about 13% of its total and boasts 3 exits across its portfolio.
Investment Focus Highlights
- Concentrates on Series Unknown, Pre Seed, Seed rounds (top funding stages).
- Majority of deals are located in Sweden, Germany, United Kingdom.
- Strong thematic focus on Software, Information Technology, Health Care.
Stage Focus
- Series Unknown (58%)
- Pre Seed (21%)
- Seed (15%)
- Convertible Note (3%)
- Angel (3%)
Country Focus
- Sweden (88%)
- Germany (1%)
- United Kingdom (1%)
Industry Focus
- Software
- Information Technology
- Health Care
- Machine Learning
- Manufacturing
- Apps
- Biotechnology
- Medical Device
- Medical
- Saas
Frequently Asked Questions
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