Unconventional Ventures has reached the first close of its second fund, securing €50 million toward a targeted €80 million vehicle. The Nordic firm says the milestone reflects rising confidence in a more inclusive, performance-driven venture model. It will channel new capital into diverse founding teams building scalable solutions with global ambition.
Fund Overview
Fund II is backed by the European Investment Fund, EIFO, Chr. Augustinus Fabrikker, Nordea-fonden, TryghedsGruppen, and several family offices. The vehicle will continue Unconventional Ventures’ early-stage focus across pre-seed and seed, with capacity to follow on as companies mature. The firm positions Fund II as both a financial instrument and a commitment to reshape how European venture allocates capital.
Strategy and Investment Thesis
Unconventional Ventures was founded to counter structural gaps that leave women and founders of color underfunded. The firm notes that only 1 to 2 percent of investment in Europe reaches all-women teams, and less than 0.5 percent goes to startups led by people of color. Its thesis argues that backing overlooked excellence opens access to underserved markets, yielding resilient companies and competitive returns.
Sector Focus and Approach
Rather than centering on any single technology theme, the fund treats artificial intelligence and deep tech as enabling layers. It prioritizes practical applications that can scale internationally across climate, health, and education. This approach aims to capture cross-sector opportunities where diverse founders are building products with measurable impact and strong unit economics.
Team and Governance
The firm has added Alexis Horowitz-Burdick as a general partner alongside co-founders Nora Bavey and Thea Messel. Horowitz-Burdick brings operating experience and later-stage perspective, which Unconventional Ventures expects to translate into sharper guidance on growth and capital strategy. Her time will be split between the United States and the Nordics to support transatlantic expansion for portfolio companies.
Portfolio Signals from Fund I
Early portfolio outcomes are intended to validate the model and inform deployment for Fund II. Swedish battery startup Drev, first backed by the firm, recently closed a €2.8 million seed round to advance clean energy solutions. Climate risk platform Climate X, based in the United Kingdom, is scaling quickly and moving toward a potential Series B as demand for climate resilience tools increases.
Market Context
The fund launch lands in a European venture market that remains selective, with capital consolidating around clear operating traction and credible pathways to profitability. In this environment, the firm argues its sourcing advantage lies in networks that surface founders frequently overlooked by mainstream capital. The presence of institutional limited partners signals growing acceptance that diversity and performance are aligned goals, not competing agendas.
Deployment and Value Creation
Capital from Fund II will be deployed with disciplined pacing, emphasizing strong fundamentals, customer validation, and repeatable growth. The team plans to leverage its operating network to help founders with hiring, international go-to-market, and follow-on financing. Portfolio support will include connections across Europe and the United States to accelerate partnerships and downstream investor interest.
Impact and Measurement
Unconventional Ventures positions impact as intrinsic to commercial outcomes, not a separate track. The firm says its measurement will focus on both financial performance and evidence that portfolio solutions expand access, efficiency, or resilience for end users. By aligning incentives at the founder, fund, and LP levels, it aims to demonstrate that equity and returns can scale together.
With a €50 million first close on the path to €80 million, Unconventional Ventures is doubling down on an investment strategy centered on overlooked talent and global scalability. Backing from the European Investment Fund, EIFO, and mission-aligned institutions strengthens its capacity to compete in a selective market. The addition of a third general partner and early portfolio momentum set the stage for Fund II to test, and potentially widen, the boundaries of European venture.