Key Takeaways
- • Lakestar closed an oversubscribed US$265 million continuation vehicle (Lakestar Continuation Fund I), representing one of the largest such transactions in European venture capital to date.
- • The fund attracted global institutional and professional secondary investors, signaling strong confidence in both Lakestar's portfolio quality and its broader platform capabilities.
- • Lakestar structured secondary positions across premium portfolio companies spanning four of its funds, with the firm selling partial holdings to preserve upside potential while delivering liquidity events to Limited Partners.
- • Lakestar, founded by Klaus Hommels in 2012, has now raised over US$2.5 billion in aggregate across multiple products and operates as a pan-European venture capital firm focused on technology-enabled, disruptive businesses.
- • Clifford Chance's global legal team, operating across Munich, New York, and London, advised on the transaction, demonstrating the deal's cross-border complexity and institutional scale.
Summary
Lakestar, one of Europe's leading pan-European venture capital firms, has successfully closed a US$265 million continuation vehicle—Lakestar Continuation Fund I (LCF I)—in a transaction that ranks among the largest of its kind in the European venture capital market. The fund closed oversubscribed, reflecting robust investor demand and confidence in both the underlying portfolio and Lakestar's track record.
The continuation vehicle was backed by a diverse set of global institutional and professional secondary investors, underscoring institutional confidence in Lakestar's portfolio quality and platform. Founded in 2012 by Klaus Hommels, Lakestar has established itself as a premier pan-European venture capital firm with a mission to identify, fund, and scale disruptive, technology-enabled businesses founded by exceptional entrepreneurs across Europe and beyond. The firm has raised over US$2.5 billion in aggregate across its various product offerings to date.
The structure of LCF I involved a secondary process targeting premium portfolio companies across four Lakestar funds. Rather than pursuing a wholesale continuation strategy, Lakestar predominantly sold portions of its holdings across multiple portfolio companies—a selective approach designed to accomplish two objectives: preserve significant upside potential in the underlying assets while simultaneously providing liquidity events for Limited Partners in the corresponding funds. This balanced strategy reflects both the strength of the portfolio and Lakestar's disciplined capital allocation approach.
Global law firm Clifford Chance, with teams based in Munich, New York, and London, provided legal advisory services on the closing. The multigeographic legal team, led by partners including Sonya Pauls, Lisa Giroux, Neil Barlow, and Jacob Bruchez, underscores the deal's cross-border complexity and institutional sophistication. The transaction's successful execution and oversubscription signal continued institutional appetite for continuation vehicles in the European venture capital market, particularly where fund managers demonstrate strong portfolio performance and thoughtful capital preservation strategies.
The continuation vehicle was backed by a diverse set of global institutional and professional secondary investors, underscoring institutional confidence in Lakestar's portfolio quality and platform. Founded in 2012 by Klaus Hommels, Lakestar has established itself as a premier pan-European venture capital firm with a mission to identify, fund, and scale disruptive, technology-enabled businesses founded by exceptional entrepreneurs across Europe and beyond. The firm has raised over US$2.5 billion in aggregate across its various product offerings to date.
The structure of LCF I involved a secondary process targeting premium portfolio companies across four Lakestar funds. Rather than pursuing a wholesale continuation strategy, Lakestar predominantly sold portions of its holdings across multiple portfolio companies—a selective approach designed to accomplish two objectives: preserve significant upside potential in the underlying assets while simultaneously providing liquidity events for Limited Partners in the corresponding funds. This balanced strategy reflects both the strength of the portfolio and Lakestar's disciplined capital allocation approach.
Global law firm Clifford Chance, with teams based in Munich, New York, and London, provided legal advisory services on the closing. The multigeographic legal team, led by partners including Sonya Pauls, Lisa Giroux, Neil Barlow, and Jacob Bruchez, underscores the deal's cross-border complexity and institutional sophistication. The transaction's successful execution and oversubscription signal continued institutional appetite for continuation vehicles in the European venture capital market, particularly where fund managers demonstrate strong portfolio performance and thoughtful capital preservation strategies.
Go deeper than the headline
Research every firm in this story, track the ones that matter and get the daily briefing — free for 7 days.