Three new Icelandic VC funds ready to invest $80 million

The Icelandic startup scene rejoice after three new VC funds open within the first week of February.

There has been talk about creating new VC funds in Iceland for years. As both of the current Icelandic VC funds, NSA Ventures and Frumtak, have been fully invested for years with little flexibility towards new investments. The Icelandic startup scene can rejoice at the news of three new VC funds raising a total of $80 million.

The first new fund was announced on February 4, a $30 million venture fund called Brunnur VC Fund co-founded by SA Framtak and Landsbréf.  SA Framtak is a private equity and venture capital investment advisory company, emphasizing on innovation and growth companies in Iceland. Landsbréf is a subsidiary of Icelandic bank Landsbankinn and operates several funds.

A second announcement was released later the same day, when a new fund called Eyrir Spotar stated it had finish its first funding round for roughly $19 million. It was funded by Arion bank, Eyrir Invest, pension funds and private investors, and is still trying to attract more new investors according to their press release. The investment company, Eyrir Invest will be operating the new VC, known for being the leading investor in Marel, one of the biggest companies in Iceland.

A third VC was announced two days later, when Frumtak announced a $40 million funding round for Frumtak 2, which will have the same invest philosophy as Frumtak 1.

We expect to be able to deliver more news about Icelandic VC funds, as Islandsbanki, the third largest bank in Iceland, allegedly has been talking to a private investor about creating their own VC fund.