Dawn Capital closes $700m raise for new flagship B2B software fund

Early-stage B2B investor Dawn Capital has raised a fresh $700m from its LPs in order to create not one, but two new funds.

Dawn V will be the VC’s fifth B2B software fund and the largest ever raised in Europe at $620m, aimed at Series A and Series B startups with initial investments of $10m to $40m.

Dawn Opportunities III is a new later-stage fund of $80m which will look to back Series C-stage and later companies with follow-on investment.

“Our new funds will enable us to remain laser-focused on opportunities, with the capital to meaningfully support founders from Series A to exit,” Haakon Overli, general partner at Dawn Capital said.

“We can’t wait to see where our future entrepreneurs take us with our new funds and greatly appreciate the support of all our investors, team and founders.”

Dawn Capital has previously backed several successful B2B fintechs including Zettle (acquired by PayPal for $2.2bn) and Tink (acquired by Visa for $2bn), and has current investments in Billie, Sonovate and Soldo.

The two new funds are already up and operating, with Dawn V having made three investments even before this announcement, with FlowX.ai, tax compliance platform Fonoa and embedded insurer Cover Genius.

As well as the raise, Dawn has also promoted its head of investor relations and marketing, Hannah Gubbins, to partner on the back of this successful fundraise.