Vento Launches €75M Fund for Italian Founders | Global Investment

A New Venture Fund Aims to Boost Italian Startups

In recent years, as venture capital activity in Europe has accelerated, a strategy emerged to bolster national ecosystems. This involved investing in founders originating from a specific country, irrespective of their current location. The goal was to encourage the return of entrepreneurial talent and mindset to their homeland.

This approach was initially championed by Kima Ventures, based in Paris. Now, a new venture firm is seeking to replicate this model within Italy.

Introducing Vento: A Second Fund for Italian Founders

Vento, a prominent early-stage venture capital firm in Italy, is launching its second fund. This fund is capped at €75 million and is specifically designed to support Italian startup founders, both within Italy and internationally.

The fund’s origins lie with the organizers of Italian Tech Week (ITW), an annual event held in Turin. ITW has attracted influential figures like Sam Altman, Reid Hoffman, and Elon Musk.

The Backing of a Prominent Italian Family

Italian Tech Week was initially established by John Elkann, chairman of Vento, Stellantis, and Exor. Elkann, a scion of the Fiat family, leverages his extensive network in both Europe and Silicon Valley to enhance ITW.

Consequently, Vento’s Investment Committee includes seasoned tech industry professionals such as Diego Piacentini, Mike Volpi (formerly of Index Ventures), and Jean de La Rochebrochard.

Interestingly, Rochebrochard recently joined Kima Ventures – the firm Vento aims to emulate – following a departure from Newwave, a French venture capital company, last year.

Vento’s Investment History and Future Plans

To date, Vento has invested in 100 startups, including companies like Bee, JetHR, and Qomodo. The second fund intends to make 375 investments over the next five years.

Diyala D’Aveni, CEO of Vento, explained to TechCrunch that while Italy lags behind other European nations, it is following a similar growth trajectory. She stated that Italian Tech Week serves as a platform to connect international investors with Italian founders and inspire local talent.

Addressing the Ecosystem Gap

D’Aveni believes a lack of prominent success stories hinders the growth of the Italian ecosystem. She emphasized that capital isn’t the primary issue, but rather the need for inspiring examples to catalyze further development, mirroring the success seen in France.

Italian Tech Week plays a crucial role in this strategy, allowing Vento to assess over 3,500 startup applications. The event maintains a selective acceptance rate of 2.5%, offering a standardized €150,000 investment and potential follow-on funding.

Elkann’s Vision for Italian Entrepreneurship

What specific challenges facing Italian tech founders prompted Elkann to establish this fund?

“When we launched Vento’s first fund in 2022, we identified a significant gap in support for Italy’s technological and entrepreneurial potential,” Elkann stated.

“Italian founders have consistently demonstrated strong entrepreneurial drive, but the necessary ecosystem was lacking. Vento was created to fill this void by providing not only financial capital, but also a comprehensive platform encompassing direct investment, venture building, and network development through Italian Tech Week.”

Navigating Italian Company Law

Italian company law is often perceived as less conducive to startups compared to the frameworks in the U.K. or the U.S. Will Vento prioritize Italy-domiciled startups, or will its approach be location-agnostic?

“Our core focus is on identifying and supporting exceptional Italian founders throughout their global entrepreneurial endeavors,” Elkann clarified. “Italy is rapidly becoming more competitive in the global technology landscape, and we anticipate that regulatory differences between countries will diminish in importance.”

Growth in Italian Venture Capital Investment

The Italian tech scene is demonstrably improving. Data from Dealroom indicates that venture capital investment in Italian startups reached $5.72 billion between 2020 and 2024. This represents a more than threefold increase compared to the previous five-year period, which saw only $1.7 billion in investment.

D’Aveni also noted ongoing efforts to expand Vento’s reach internationally, leveraging a network of founders and Italian communities in cities like New York, London, Berlin, and Paris.