Backed by Deutsche Telekom and SoftBank, DTCP Raises $450 Million for Its Growth and Early Stage Funds

German investment management firm DTCP has secured $450 million for its third growth fund and an initial closing of its new early-stage fund, Incharge Capital, a joint venture with Porsche focusing on mobility startups.

DTCP, which was once an acronym for Deutsche Telekom Capital Partners, is now independent and has Deutsche Telecom as its anchor investor. Despite its ties to the telecom company, DTCP had to settle for a smaller growth fund than initially intended, with a target of $500 million and a hard cap of $600 million.

"We went through a very complicated market environment for fundraising," said Thomas Preuß, managing partner of DTCP Growth. The firm has already made four investments, including Anecdotes, Cognigy, Cohere, and Quantum Systems, which share a focus on AI and automation.

Notably, SoftBank is DTCP Growth's second-largest investor, confirming the Japanese group's long-term ties to the German telco and its ongoing fund of funds strategy.

DTCP Growth intends to make investments in the range of $20 million to $25 million, in stages ranging from Series B to late-stage funding rounds, where capital has been scarce. The firm's investment strategy is both thesis-driven, with a focus on cloud-based enterprise software, and data-driven.

DTCP uses an "upside-down investment approach," evaluating companies and their KPIs with the same in-house software it uses along their whole journey, DTCP Flightpath. "We call it the upside-down investment approach," Preuß said.

The firm has lots of companies on its radar, often too early to be investable by its growth fund, which inspired its decision to add an early-stage fund. The early-stage fund, based in Berlin, has a size of $125 million.

AndroGuider Team

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