TVM Closes VC Fund

MUNICH and BOSTON -- Techno Venture Management, the German-U.S. venture capital firm, announces the closing of TVM V Information Technology at € 128 million. This was the largest venture capital fund for high-tech investments closed in this volume in Germany this year. TVM V IT completes TVM's fifth fund generation and brings the total raised by TVM since its inception to € 1.097 billion. Fundraising in 2001 and 2002 proved increasingly challenging. Earlier this year TVM knew that the original target of € 250 million for TVM V Information Technology had to be adjusted downwards. Friedrich Bornikoel, Managing Partner TVM, explained: "Given the changing environment for venture capital investing, we decided to reduce the targeted fund size rather than shift from our strategy of investing in early-stage German and US companies. Actually, this fund size is quite similar to the €150 million allocated for portfolio companies in the information and communications technology ("ICT") sector in our €300 million TVM IV fund. The TVM V IT fund puts us in a position to invest in 15 to 20 early-stage companies over the next three years." Since 1983 TVM has raised € 1.097 billion over five fund generations. "We are more than satisfied with what we have achieved in this demanding funding environment. We have retained the support of many long-standing investors and we have attracted several new investors," Friedrich Bornikoel emphasizes.Techno Venture Management GmbH