Kinisis Ventures announces strategic expansion with launch of KV Fund II

Kinisis Ventures announced the launch of Kinisis Venture Fund II (KVF II), a new compartment under the KV Kinisis Ventures Fund RAIF V.C.I.C. PLC, building on the momentum generated by KVF I, a few critical recent strategic US partnerships and some promising developments within the CY ecosystem.

“When we launched KVF I, the first CySEC-registered VC fund focusing on Cypriot startups, our expectation was that more institutional and private investors would begin adding capital to the ecosystem,” said Andreas Panayi, Partner at Kinisis Ventures. “The recent launch of the Cyprus Equity Fund, the relaunch of the Cyprus Business Angel Network (CyBAN) and an uptick in local startup participation by experienced Cyprus-based family offices, such as Exerte Partners, is the progress we hoped for and our cue to launch the next stage in our KVF strategy. As we are gradually moving out of the investment stage and ramping up the value creation phase of KVF I, we are increasingly leveraging our U.S. resources and focusing on the US market. Now, with KVF II, we are expanding our activity further around US-based investors, co-investments and strategic deal-flow review and consideration,” Panayi added.

Building on the momentum

In line with the strategic decision to leverage KVF I’s momentum, KVF II will continue to seek Cyprus-based startups with potential for US growth and exits.

“The launch of KVF II is a natural evolution,” said Chris Droussiotis, Partner at Kinisis Ventures. “We are doubling down on our commitment to help startups achieve US growth and eventual exits by providing capital, experience and cross-disciplinary support.” Reflecting on the momentum of KVF I, Droussiotis highlighted one of its earliest investments in Threedium, a startup company with proprietary software to transform images into high-definition 3D models. “In less than three years, Threedium has experienced remarkable growth, expanding from Cyprus into Europe and now generating the majority of its revenues from the U.S. market. Their revenue has surged more than 300% compared to last year, with approximately 60% of their total revenue now coming from the US,” he explained. KVF II will also have a front-row view and direct investment access to KVF I portfolio companies as they continue to mature and raise their growth capital rounds.”

A unique blend of acceleration and venture capital

Kinisis Ventures leverages on its ability to provide strategic incubation and commercialisation capital under one roof. The investment team, with extensive US business experience and networks, is adept at identifying and nurturing startups that can disrupt sectors and create significant market changes.

“Our experienced multi-disciplinary team and strong access to US co-investor networks offer a unique value proposition to our portfolio companies. We provide them with the resources and support needed for their growth,” added Yiannos Georgiades, Partner at Kinisis Ventures.

KVF II will maintain its focus on early-stage startups in sectors where the KV team of advisors can offer valuable experience, insights and connections to commercial and co-investor networks. However, a key evolution for KVF II is that it will now source and consider deals from its network both in the U.S. and Cyprus. “Strategically blending teams, ideas, and expertise has always been central to the KVF investment philosophy. By integrating new experiences, different thinking and expertise from both the US and Europe into the same portfolio, we expect to accelerate value creation across the board,” concluded Carolos Georgallis, portfolio manager of KVF.