The debut fund will be deployed by 2026 and will comprise a maximum of 10 investments executed over three years to allow the partners to focus the firm’s resources on a concentrated portfolio of companies spanning industrial digitalisation and automation, energy tech, and transportation. Direttissima has been set up by three Partners including Alois Flatz who was one of the original founders of the Dow Jones Sustainability Index (DJSI), the world’s leading index family for sustainable investment.
Flatz, who brings 25 years experience in growth funding and private equity investment to the firm is joined by two additional partners at Direttissima. Christopher Hoffmann - a seasoned growth equity investor and former CFO of European technology business va-Q-tec which he led to a highly successful IPO in 2016 - and a newly appointed third partner, Philipp Bolliger, who holds a PhD in Computer Science from world-renowned ETH Zurich. Bolliger was also founder and CEO of two IoT companies, Koubachi and Thingstream, both of which he successfully exited within the last decade. His appointment has led the firm to rebrand from FlatzHoffmann to Direttissima to express the firm’s mandate to build the next generation of technology leaders in Europe.
Focus on DACH region
Direttissima will provide essential growth capital to scaleups looking to expand beyond their national borders and has a primary focus on the DACH region, the original powerhouse of European engineering, digitalisation, and energy transition. However, the growth funding gap for successful later-stage technology companies from domestic funds has been a consistent challenge for many years across all of Europe, with very selective financing coming from some US and Asian investors. Meanwhile, growth funding in the DACH region steeply declined from €7.9bn in the first half of 2022 to just €2.7bn in the first half of 2023, representing a 66% decrease. This presents an enormous opportunity for domestic funds to back the best home-grown technology leaders of tomorrow as they set sights to scale to new heights and expand internationally.
With offices in Zurich and Munich, Direttissima has initiated the debut fund in partnership with Liechtenstein-based asset management firm, Principal. The fund is also backed by several entrepreneurs and family offices that stand behind some of Europe’s most successful industrial, pharma and consumer brands.
By focussing on technology companies benefiting from structural growth trends, a proven business model, established customer base, revenues exceeding €5M, sound unit economics and a clear path to profitability, Direttissima intends to set a new trend for domestic growth financing that will solidify Europe's position as the leader in sustainable B2B technology innovation. Two investments have already been executed in technology companies founded in the UK and Germany,
“We’re in an era of rapid technological transition at the intersection of digitalisation and sustainability,” says Philipp Bolliger, Partner at Direttissima based in Zurich. “As a former CEO of two startups, I have seen first-hand that the venture capital market in Europe is saturated and M&A is seeing a surge, but enthusiasm for mega rounds and treading risky IPO territory is on the decline.” Bolliger sees Switzerland as a hotbed for investment in promising growth companies.
(Press release / SK)