Proxima Fusion Secures €130M Series A Funding

The Advance Towards Commercial Nuclear Fusion

Currently, commercially viable nuclear fusion power remains unrealized. However, significant venture capital investments are being directed towards startups dedicated to achieving this goal, suggesting that clean, safe, and nearly limitless energy may soon transition from a long-term aspiration to a tangible possibility.

A European Contender Emerges

The majority of fusion companies securing over $100 million in funding are located within the United States. However, Proxima Fusion, a German startup, has recently obtained €130 million (roughly $148 million) in Series A funding, spearheaded by Balderton Capital and Cherry Ventures.

This latest investment elevates Proxima’s total public and private funding to exceed €185 million ($200 million). This increased capital strengthens its position as a leading European contender in the development of an alternative to traditional fission, a process that doesn't rely on uranium or other imported fissile materials.

Energy Security and Geopolitical Implications

The drive for fusion power extends beyond purely scientific objectives; it is fundamentally linked to ensuring energy security. Francesco Sciortino, Proxima’s CEO and co-founder, forecasts that “fusion giants will emerge within each geopolitical block by the early 2030s,” as stated in a TechCrunch interview.

Prior to this funding, Proxima lacked the resources to achieve such scale. Its seed round in April 2024 amounted to only €20 million ($21.7 million). Subsequently, the company published its plans for a functional fusion power plant in a respected, peer-reviewed scientific publication.

Stellarators: A Promising Reactor Design

The published research advocates for the use of stellarators, a reactor type employing magnetic fields to contain hot plasma within a ring for a sufficient duration to enable fusion. Unlike tokamaks, their primary alternative, stellarators’ uniquely twisted rings do not necessitate a plasma current, resulting in enhanced stability.

Leveraging its location near Germany’s Wendelstein 7-X, the world’s largest stellarator, Proxima developed its own Stellaris design. This achievement represents a crucial milestone, as detailed in the published paper.

Funding and Future Milestones

The substantial new funding reflects the company’s rapid progress, having reached this milestone ahead of its initial projections to investors, according to Sciortino. The round was oversubscribed, allowing Proxima to select partners aligned with both its current and future financing needs.

Both Balderton and Cherry Ventures, the co-leading funds, have indicated potential for continued investment. Balderton secured $1.3 billion in 2024 for its Early Stage Fund IX and Growth Fund II. Cherry closed its latest fund at $500 million in February 2025, allocated between early-stage ventures and follow-on investments at Series B and beyond.

Sciortino anticipates needing venture capital investment through approximately 2031. Following this, the company plans to explore alternative capital sources. However, before that point, key milestones must be achieved, including a critical hardware demonstration planned for 2027.

He believes the funding was facilitated by a shared understanding that “this is not an infinitely long journey for our current investors.”

Investor Confidence and European Leadership

Despite the inherent risks, investors are demonstrating a willingness to support fusion technology. Ian Hogarth, a partner at Plural, has invested in Proxima on three separate occasions, describing it as a “big shot.”

The prospect of nuclear fusion is particularly attractive for Europe. Hogarth emphasized to TechCrunch that “Proxima represents an opportunity to decarbonize and provide a stable baseload for all the downstream energy needs the world has, and for Europe to play a global leadership role in driving the energy transition.”

A Pan-European Collaboration

Proxima’s investor base remains predominantly European, encompassing Bayern Kapital, Club degli Investitori, DeepTech & Climate Fonds (DTCF), Elaia, HTGF, Leitmotif, Lightspeed, OMNES Capital, redalpine, Visionaries Tomorrow, and UVC Partners.

“We consider Proxima to be thoroughly European and not just German,” Sciortino stated. While headquartered and operating its lab in Munich, stemming from the Max Planck Institute for Plasma Physics (IPP), Proxima also maintains teams at Switzerland’s Paul Scherrer Institute and the Culham Centre for Fusion Energy in the U.K.

Sciortino, a physicist, originally hails from Italy and conducted fusion research in the U.K., Switzerland, and the U.S. His decision to return to Europe was motivated, in part, by a desire to contribute to the continent’s future: “I’m a fairly proud European, and always wanted to think that there is a future on this continent that somebody has to build.”

Note: This story was updated to add the full list of investors involved in the round.