PFR Ventures invests close to €35M in 4 Polish VC funds

PFR Ventures has announced the agreements with four Polish venture capital funds that invest in innovative companies in the country and the CEE region, including Inovo VC, Market One Capital, and SMOK Ventures.

  • The €35 million (PLN 150 million) capital commitment is part of the PFR VC Hub program and comes from the Polish Development Fund’s budget. The first agreements were signed at the end of 2022, and the last one in early 2024.
  • All investment teams have a well-established presence in the Polish market, with three benefiting previously from PFR Ventures’ support through European Union-funded programs. Funds with PFR Ventures as a Limited Partner are poised to significantly invest in the nation’s innovators, earmarking over €162 million (PLN 700 million) for Polish companies.

With the development of the Polish venture capital market, our offer is expanding. A few years ago, we made a decision to also finance the best Polish teams with PFR funds. We want the managers to have access to capital that gives greater flexibility in terms of investment strategy,

Paweł Borys, President of the Polish Development Fund, says.

The four teams who received the funding

Inovo VC is a Warsaw-based early-stage VC fund backing founders from Poland and the CEE region. The firm is currently running its third fund with a capitalization of over €107 million. Its recent portfolio includes Fiat Republic, Quesma, and Evidose.

Market One Capital is a Poland-based generalist venture capital firm investing across the whole of Europe. The firm manages the second fund with a target capitalization of about €80 million. Market One Capital funds have in their portfolio such companies as MetaGravity, ConnectEarth, and METYCLE.

SMOK Ventures was established in 2019 and to date has invested in 38 companies, including Hyperjob and Finmap. The firm recently closed it second fund at $25 million aiming to invest in up to 35 startups from the CEE region and its diaspora.

The fourth team’s name remains undisclosed. However, it will focus on financing companies in the growth equity phase from Poland and Europe. It is managed by a group of experienced managers, and the target size of the fund is similar to the other funds in the PFR VC Hub portfolio.