bm|t newsletter Q2 2021

In many sports there is an impor­tant con­cept of “play­ing to win” as opposed to “play­ing not to lose” (in ten­nis, play­ing pre­dom­i­nantly low-risk shots; in foot­ball, play­ing very defen­sively, etc.). The strat­egy of play­ing not to lose or sim­ply play­ing to stay in the game can some­times be effec­tive and even appro­pri­ate at times based on the cir­cum­stances. How­ever, for young inno­v­a­tive com­pa­nies and for ven­ture investors, play­ing to win is the only strat­egy that makes sense.

In this Newsletter 

Playing to Win

A her­culean effort is required for a young com­pany to break into an estab­lished mar­ket with a new product/service/solution or to estab­lish a new mar­ket alto­gether (per­haps even tougher). Thus, the rewards for those extreme efforts must be immense, and the rewards are only immense for truly win­ning.

In our view, play­ing to win requires hav­ing a win­ning vision, tak­ing risks to real­ize that vision, and being hon­est enough to know when the path and/or vision needs to be modified.

First, hav­ing a win­ning vision means ensur­ing that the company’s goal is one that is com­pelling and lucra­tive enough to pur­sue with full com­mit­ment. Hav­ing a worth­while and inspir­ing “rai­son d’être” gives a com­pany count­less advan­tages: tal­ented employ­ees want­ing to join, investors see­ing what is pos­si­ble, and part­ners being moti­vated to work together on excel­lent terms, to name just a few essen­tial ones.

We have rarely seen big “wins” when founders sim­ply are engrossed in their tech­nol­ogy with­out an inspir­ing vision of how the tech­nol­ogy can cre­ate mas­sive pos­i­tive change in the world.

Sec­ondly, play­ing to win requires both founders and ven­ture investors mak­ing a true com­mit­ment to tak­ing the risks that are nec­es­sary to pro­vide a chance to win. Although this con­cept might sound obvi­ous, it is often dif­fi­cult in prac­tice, pre­dom­i­nantly because it often requires relin­quish­ing con­trol. For exam­ple, this can mean invest­ing more cap­i­tal than orig­i­nally planned when an oppor­tu­nity is spot­ted, mak­ing a trans­for­ma­tional addi­tion to the team, engag­ing in a part­ner­ship, or the acqui­si­tion of a com­ple­men­tary com­pany. And it cer­tainly means founders and ven­ture investors can­not sit back and wait for suc­cess to come to them and can­not be con­tented with minor con­fir­ma­tions that they are on the right path – they also have to find ways to sprint down that path.

Finally, while sprint­ing down this path, play­ing to win also requires per­se­ver­ance to carry on and being bru­tally self-hon­est about whether or not one is still on the right path. Ulti­mately it is bet­ter to suf­fer dis­ap­point­ing set­backs on the road to vic­tory than to expe­ri­ence pleas­ing “suc­cesses” on a road to nowhere. Com­pa­nies and investors need to con­tin­u­ally eval­u­ate if the nav­i­ga­tion sys­tem is point­ing toward a win­ning des­ti­na­tion, and must be deci­sive in piv­ot­ing (or pulling the plug) if the path is lead­ing to a less than desir­able result.

Over the last years, we have expe­ri­enced sig­nif­i­cant wins here in Thürin­gen, and we and our Investee-Part­ners will con­tinue to push our­selves extremely hard to cre­ate win­ning visions, to take risks when oppor­tu­nity avails itself, and to not mis­take progress of any kind for progress towards winning.

Now, let’s go out there and win together!

Your bm|t Team

Welcome to the Family

Newly-founded, ROBUST AO, closed an excel­lent seed round with Fraun­hofer Tech­nol­ogy Trans­fer Fund (FTTF) and bm|t. The cap­i­tal will allow the com­pany to con­tinue tech­no­log­i­cal and mar­ket devel­op­ment of its extremely high-tech prod­uct, the Zwobbel. The Zwobbel allows for incred­i­bly fast (100x faster than cur­rent meth­ods) refo­cus­ing along the Z axis, which is of tremen­dous value for indus­trial laser machin­ing com­pa­nies — ROBUST AO’s first tar­get mar­ket. Mid-term, the com­pany also has iden­ti­fied addi­tional attrac­tive mar­kets for its pro­pri­etary tech­nol­ogy. We are extremely pleased to wel­come ROBUST AO to the bm|t fam­ily and to have a seat on the company’s rocketship!

Follow-on Investments

neu­ro­Care group (nCg) closed over 10 Mio. EUR of invest­ments in Q2 with 7.5 Mio. EUR com­ing from new anchor investor, re:mind, one of Chris­t­ian Angermeier’s invest­ment firms with an exclu­sive focus on men­tal health. bm|t joined the round with 2.5 Mio. EUR, rais­ing our total invest­ment in nCg to approx­i­mately 7 Mio. EUR. The com­pany will use the cap­i­tal for acqui­si­tions, build­ing green­field clin­ics, and strength­en­ing its dig­i­tal ther­a­peu­tics plat­form in order to add even more effi­ciency and capa­bil­i­ties to the company’s lead­ing treat­ment options for men­tal health. nCg wasted no time in deploy­ing a por­tion of the cap­i­tal by acquir­ing Mag & More – a lead­ing tech­nol­ogy player in rTMS (repet­i­tive tran­scra­nial mag­netic stim­u­la­tion). The fol­low­ing press releases pro­vide fur­ther details on the cap­i­tal raise and the acquisition:

› full press release april

› full press release may

rooom AG offers the first com­plete solu­tion for 3D, aug­mented real­ity (AR), vir­tual real­ity (VR) and dig­i­tal and hybrid events. With rooom’s user-friendly plat­form, com­pa­nies can eas­ily and cost-effec­tively cre­ate, edit, and present their own 3D con­tent online. rooom closed its series A financ­ing round with a vol­ume of over 4 mil­lion euros with bm|t and other well-suited, expe­ri­enced pri­vate investors. The com­pany will use the cap­i­tal to con­tinue sprint­ing on its explo­sive growth path, includ­ing an impor­tant new focus on inter­na­tional expan­sion. You can read more about rooom’s cap­i­tal raise and plans here.

FBGS Tech­nolo­gies is a lead­ing devel­oper and sup­plier of advanced fiber-optic sens­ing solu­tions and com­po­nents based on Fiber Bragg Grat­ings (FBG) tech­nol­ogy. The company’s prod­ucts offer many modal­i­ties of mon­i­tor­ing for a wide range of appli­ca­tions and are cur­rently being used in indus­tries such as med­ical, aero­space, oil & gas, tele­com, and test & mea­sure­ment. Partly dri­ven by the company’s pro­pri­etary shape-sens­ing tech­nol­ogy, demand for FBGS’s solu­tions is boom­ing. Con­se­quently, FBGS made the strong deci­sion to build its own large-scale pro­duc­tion facil­ity. The total cap­i­tal raised (debt & equity) for this pur­pose was over 7 Mio. EUR. bm|t led the nearly 2 Mio. EUR equity por­tion of the raise and was joined by piv­otal co-investors X2 Equity and XENICS NV.

Nine out of ten strokes are preventable.
Pre­ven­ti­cus devel­ops tech­nolo­gies and man­aged care pro­grams that make this goal more achiev­able every day.

The company’s pro­pri­etary, best-in-class tech­nol­ogy uses pulse sig­nals to screen and mon­i­tor car­dio­vas­cu­lar dis­or­ders (e.g. atrial fib­ril­la­tion) using smart­phones and wear­ables. The com­pany has fur­ther evolved into a more com­pre­hen­sive man­aged care com­pany by uti­liz­ing its core tech­nol­ogy, a com­pre­hen­sive IT ecosys­tem and con­nected care ser­vices with the involve­ment and con­nec­tion of health insur­ers, tele­care cen­ters, and cardiologists.

bm|t led this growth financ­ing focused on expand­ing capac­ity to onboard large num­bers of users/patients, as Pre­ven­ti­cus is now fully approved to pro­vide its ser­vices in Ger­many and is rapidly adding customers.

In Ger­many, hos­pi­tals are legally required to ensure appro­pri­ate con­tin­ued treat­ment for patients after a hos­pi­tal stay. Patients are often either directly trans­ferred to nurs­ing homes or to their own homes with nurs­ing care vis­its. For either option Pflege­platz­man­ager’s cloud-based soft­ware enables an effi­cient trans­fer of the patient to the best-suited care­givers. Demand for Pflege­platz­man­ager is explod­ing and is receiv­ing a turbo charge from new leg­is­la­tion for the dig­i­tal­iza­tion of hos­pi­tals (Kranken­hauszukun­fts­ge­setz). The com­pany is also rapidly expand­ing into ancil­lary mar­kets and ser­vices and is increas­ingly play­ing a cen­tral role in broader dig­i­tal patient man­age­ment. bm|t led this seven-fig­ure invest­ment round and was joined by key co-investors with excel­lent indus­try knowl­edge and networks.

HAPILA (Highly Active Phar­ma­ceu­ti­cal Ingre­di­ent Labs) pro­vides high-value ser­vices & solu­tions to a broad range of cus­tomers, includ­ing medium-sized phar­ma­ceu­ti­cal com­pa­nies, “Big Pharma”, Gener­ics, R&D, Biotech and Fine Chem­i­cals. The com­pany offers extremely high-level exper­tise to solve demand­ing prob­lems in the devel­op­ment and man­u­fac­ture of phar­ma­ceu­ti­cal ingre­di­ents. HAPILA’s ser­vices range from early stage devel­op­ment through to GMP man­u­fac­tur­ing in the fields of syn­the­sis, purifi­ca­tion and design. bm|t led this growth financ­ing focused on expand­ing the company’s unique man­u­fac­tur­ing capa­bil­i­ties and capacity.

Investor Days Thüringen 2021

This year we were again forced to have a dig­i­tal-only ver­sion of Investor Days Thürin­gen (IDT), but that did not stop the event from being well attended with over 500 par­tic­i­pants from across the globe. Con­sid­er­ing the excel­lent and var­ied pitches as well as the great work­shops on day two, there was undoubt­edly some­thing for every­one. A huge THANK YOU to all the spon­sors, pre­sen­ters, atten­dees, and orga­niz­ers for their impor­tant con­tri­bu­tions to this fan­tas­tic event, which has become the pre­mier investor event in mid­dle Ger­many. As usual, the pitch­ers, pre­sen­ters, and hosts(!) sim­ply stole the show with extremely strong and enter­tain­ing per­for­mances. In case you missed this year’s event, you can view videos (includ­ing indi­vid­ual pitches in case you want to eas­ily view spe­cific com­pa­nies) here:

We look for­ward to wel­com­ing you to Investor Days Thürin­gen again next year on June 14th and 15th in Erfurt, where we plan to again enjoy pitches, net­work­ing, and brats & beers with you.

If your part­ners or col­leagues might be inter­ested in our reg­u­lar updates,
please don’t hes­i­tate to share this link.

ALSO SEE OUR OTHER NEWSLETTERS

Q4 2021 | Jan­u­ary 25, 2022
Q3 2021 | Octo­ber, 25 2021
Q2 2021 | July, 22 2021
Q1 2021 | April, 15 2021
Q4 2020 | Jan­u­ary, 22 2021
Q3 2020 | Octo­ber, 20 2020
Q2 2020 | Juli, 17 2020
Q1 2020 | April, 17 2020
Q4 2019 | Jan­u­ary, 15 2020
Q3 2019 | Octo­ber, 17 20019
Q2 2019 | August, 14 2019
Q1 2019 | May, 3 2019
Q4 2018 | Feb­ru­ary, 4 2019
Q3 2018 | Octo­ber, 16 2018
Q2 2018 | July, 23 2018
Q1 2018 | May, 24 2018