Introduction to PSV Hafnium

How would you describe PSV Hafnium and your investment thesis/guiding principles in one sentence?

PSV Hafnium is an independent pre-seed fund that takes early bets on scientists, engineers, and entrepreneurs in deep tech, to support them in turning groundbreaking science and technology into impactful companies globally.

Our name ‘Hafnium’ epitomizes the very vision and DNA of the fund. The early 20th century was revolutionary for the physical sciences and set the stage for the first quantum revolution, primarily led by Niels Bohr in Copenhagen, Denmark’s capital. It was in these fertile grounds that the element hafnium was first discovered in 1922, named after the Latin word for Copenhagen, Hafnia. Since then, hafnium has become integral to modern technology, contributing to aerospace, electronics, nuclear engineering, and more. Its story underscores Copenhagen’s enduring scientific legacy. Thus, our name symbolizes the meticulous process of turning scientific discovery into impactful modern technology and reflects our belief in the importance of new profound inventions for the future.

Can you tell us a bit about yourself, the key partners/experts in the team?

We are a team of four dedicated managing partners, and two venture partners (one with a long track record in biosolution & green tech, and one with a long track record in hard tech).

As a team combined, we have 80+ years of expertise in science, technology, venture building, startups, and venture capital, private equity (PE), and share a strong vision to unleash the commercial and impact potential of Nordic science and engineering by bridging the funding gap in the Nordic deep tech sector. We are passionate about identifying scientific high-performance teams that build groundbreaking technologies, that can scale, create new huge markets—and become global leaders. Our hands-on partner team is unique. We understand the startup deep tech journey, as we across the team and as part of the PSV Venture House have invested in hundreds of deep tech journeys: we know startups’ value inflection points, fundraising challenges, R&D burn rate, required technical skills, and everything in between.

I have a background in mechanical engineering from DTU (Danish Technical University). Over the past two decades, I’ve held various roles, including business developer at the Danish Meat Research Institute, management consultant at Bain, Partner in a Venture Studio, startup CEO, Director at a Social Capital Fund, startup advisor, and investor. My experience spans industries such as food, renewables, health tech, logistics, and SaaS. I bring a diverse mix of expertise in R&D, entrepreneurship, venture & impact investing, strategy, and business development. Additionally, I’ve spent 8 years living and working abroad in the UK, USA, Spain, and the UAE, which has provided me with a global network and a broad perspective on innovation and markets.

Team: Jakob Rybak-Andersen, Anders Kjær, Maria Emilie Danø Hoffmann, Susanne Palsten Buchardt, and Søren Jessen Nielsen.

Can you tell us about the fund’s history?

PSV Hafnium is an independent pre-seed deep tech fund dedicated to closing the funding gap in the Nordic deep tech sector.
We are originally spun out of the evergreen investment unit PSV Foundry, which is an affiliated company of DTU (Technical University of Denmark), the no. 3 university in the world for innovation. We launched PSV Hafnium in autumn 2024 with a first close at €55M, targeting €60M (with a hard cap of €80M). We leverage strong ties to the academic and research environment at DTU and synergies of being part of the broader PSV Venture House.

As part of the PSV Venture House, PSV Hafnium benefits from over 20 years of experience in the innovation ecosystem, where PSV, as a venture house, has collectively invested in 450+ startups. A prime example of this success is Glycom (infant formula), a deep tech startup spun out of DTU, that received funding from PSV and was sold for €765 million to Dutch DSM in 2020.
PSV Hafnium is positioned to play a pivotal role in bridging the gap between research and industry. We focus on deep technology for deep impact and have a dual carry structure in our fund.

We have identified a gap in the Nordic market for deep tech investment, and after three years of education and advocating for the potential of deep tech, we are now positioning ourselves to be a leading early-stage investor in the Nordic deep tech ecosystem.

Fund Strategy & Investment Focus

Can you give us the key characteristics of this new fund?

We are going to invest in 25 companies over the next 4 years and follow up in the best-performing companies. We have hit the ground running with the fund as we have already invested in 6 incredible deep tech startups within: biocellulose replacing synthetic polymers, energy transition using PtX electrolysis, restoring soil biodiversity with biofertilizers, earth observation through new space, semiconductor, and health tech. Three of the startups have already achieved significant markups as they move toward their Series A rounds.

– Size (targeted & closed) and horizon: The fund’s first close in 2024 is at €55M, targeting €70M (hard cap €90M in total capital), and aims to back approximately 25 deep tech startups over the next four years. Investment horizons +10 years.

– Industry/Technology focus: We focus on science-based, technology-driven sectors, across 9 focus areas: from industrial biotech to energy transition, new materials, agrotech & environment, new food ingredients, robotics & process automation, new space, future of compute, recycling & waste management, and health tech.

– Geography focus: Primarily focused on the Nordic region, with a special emphasis on Denmark.

– Maturity focus/stage: We invest at the pre-seed and early seed stage, taking technical risk and starting with the technology maturation phase.

– Ticket size: We provide substantial funding to match the needs of deep tech companies, supporting them throughout their development journey. Our average first check ranges between €100,000 to €1M.

Do you lead investments, and do you have any typical deal terms?

We mostly lead our initial investments and structure terms where both our startups and we can see ourselves in, depending on the needs of the company, the round, and the potential for partnership and growth.

Can you follow on in later rounds?

Yes, we are committed to supporting companies throughout their entire growth journey. We often end up building the syndicates that invest and can follow on in later rounds. Two-thirds of our reserved funds are allocated for follow-on investment.

Why do you think now is the right moment to launch this fund?

The timing is perfect as deep tech is gaining increasing attention in the U.S., Europe, and the Nordics. Making a first-time fund with a 1st close of €55M in one of the worst vintage markets of the last decades is quite a milestone and underlines the strength in deep tech right now. With Europe being home to some of the leading research facilities in the world, groundbreaking technologies have always originated from here.

In the Nordics, where funding for deep tech has been historically limited, PSV Hafnium is poised to fill that gap and catalyze the development of breakthrough technologies. At the same time, Denmark and the Nordic region have strongholds in deep tech. Denmark leads in green tech, biosolutions, and sustainability, while Sweden and Finland are pushing the boundaries in AI, robotics, and advanced materials. The region benefits from top-tier research, strong public-private partnerships, a growing venture ecosystem, and a culture of innovation, making it a prime environment for deep tech to thrive.

I believe that the next global deep tech leaders will come from the Nordic countries, but we need to secure access to funding and support specialized in deep tech to unleash the potential. This is why it was the right time to launch our fund now.

What is your unfair advantage? What do you bring besides money?

Our unfair advantage is the deep understanding of both the technical and commercial aspects of deep tech, strengthened by our backbone in the PSV Venture House, our close ties to DTU (No. 3 university in the world for innovation, providing strong deal flow), as well as our strong connection to the broader Nordic innovation ecosystem.

We are a very hands-on VC with experience from hundreds of startup journeys and we’re firmly rooted in the research ecosystem at DTU, which means we understand the path from lab to venture journey by heart. Our team possesses the specific, yet cross-disciplinary expertise needed for the unique deep tech journey and its inflection points. Our expertise in R&D, manufacturing, scaling, and customers’ technology cycles, combined with our global network and strategic insights, help our portfolio companies scale and become global frontrunners.

What do you look for in entrepreneurs? What will convince you to invest in a company?

We are particularly excited about ambitious science-based founders who are tackling complex, high-impact problems. We are probably one of the few deep tech VCs that conduct a thorough 360-degree team due diligence, using Hogan assessments to ensure proper team evaluation, through gap analysis and leadership alignment, to ensure a solid foundation for supporting the founders.

We help shape a plan for their organisation’s growth and professional development as founders, and in the PSV LeaderSpace program, we help them become leaders who can inspire followership. Some scientists grow into successful CEOs/entrepreneurs, while others prefer to continue their professional growth within CSO or CTO roles.

As a deep tech fund investing in groundbreaking technologies, how do you assess and mitigate technical and market risks?

As a deep tech VC, we are not afraid of taking technical risk. We assess technical and market risks through a rigorous due diligence process, leveraging our deep technical expertise (over 80 years in the team) and networks in academia (e.g., DTU – Danish Technical University – where we are rooted), industries, and the investment community. By working closely with researchers, industry partners, and other stakeholders, we ensure that the technologies we invest in are both scientifically sound and have a clear path to market.

Can you give a few examples of startups you previously invested in and why?

Since we announced the first close only last year, we are currently focused on building the portfolio. We are very active and have already invested in six portfolio companies, three of which are on their way to Series A funding.

– Nordic Microbes: On a mission to restore soil biodiversity using biofertilizers (biostimulants) that can help create more sustainable agricultural practices.

– Dynelectro: Developing next-generation electrolyzer technology (Solid Oxide Cells) that produces green hydrogen for carbon-neutral eFuels, supporting the energy transition.

– Cellugy: Creating sustainable, biofabricated materials to replace fossil-based polymers in personal care and clothing, contributing to a more circular economy.

Advice for Founders

What is the best way for founders to approach you and what will convince you to have a first meeting?

The best way to approach us is with a clear vision of how your groundbreaking invention can scale and impact the world. We appreciate founders who have a deep understanding of the problem they are solving and the potential market for their solution. A strong technical foundation, significant market potential, and a passion for creating lasting change and impact will certainly catch our attention and convince us to have a first meeting.

What is one advice you would give deep tech founders?

Stay focused on the long-term impact of your technology. Deep tech ventures are inherently challenging and require a unique blend of patience, resilience, and persistence to mature and scale. Deep tech follows a different growth trajectory than the more familiar fast-to-market software journeys. Market timing, value chain positioning, and regulatory shifts can all play a huge role in your success.

Keep refining and scaling your technology, building a strong team, and seeking partnerships with both academia and industry. Surround yourself with the right people and expertise to ensure you’re always moving closer to your ultimate goals.

And don’t just listen to what the VCs are saying – hear what their founders have to say about them!

Who are your LPs and how did you convince them to invest their money in deep tech?

Our LPs include a mix of European and Nordic institutional investors (EIF – European Investment Fund, and EIFO), family offices, IDA – The Danish Society of Engineers, PSV Foundry (evergreen investment company and affiliated company of DTU), and high-net-worth individuals including deep tech entrepreneurs—who all share our vision for supporting science-based startups.

We convinced them by demonstrating the untapped potential of early-stage deep tech in the Nordic region and the long-term impact these investments can have on global challenges, while also presenting a compelling financial return proposition.

Vision for the Future

What do you think will be the next big thing in deep tech?

I think that the next big thing will likely be the intersection of advanced materials, quantum computing, new space, and energy solutions—strongholds in the Nordic region. Technologies that can revolutionize how we produce, store, and use energy, coupled with breakthroughs in quantum computing, will be at the forefront of transforming industries across the globe.

We are also going to see big things within biosolutions that combine nature’s innovations with biotech, AI, and gene editing, to create sustainable solutions in food, materials, and energy. We’re just at the start of this biological revolution, and unlocking its full potential is going to require collaboration, partnerships, and long-term investment.

What current trend(s) are you seeing in the deep tech investment landscape?

There is a growing recognition that deep tech is no longer a niche area but a central pillar of future innovation. We’re seeing increased investment in sectors like renewable energy, biosolutions, new space, resilience tech, and health tech, as well as a stronger focus on sustainable and impactful technologies that address the world’s most pressing challenges.

Additionally, there’s a shift towards longer-term investments with more patience and understanding of the unique cycles that deep tech ventures require, especially in the current geopolitical context. The future looks bright.