Download InnovationsKapital searching for new golden egg: invests

Innovations
Kapital
PRESS RELEASE
InnovationsKapital searching for new golden egg: invests SEK 6 million in
young fiber optics firm
InnovationsKapital is taking a stake as an active owner in the business enterprise Pangea
Fiber Optics of Stockholm. With the in German active business angel, Jan Hummel,
InnovationsKapital will invest SEK 12 million, which represents a quarter of Pangea’s share
capital.
Pangea Fiber Optics operates in the same field as Altitun and Qeyton Systems, the fiber optics
companies that reported record hikes in value a few weeks ago when they were sold to the
American giants, ADC Telecommunication and Cisco.
InnovationsKapital will, together with Jan Hummel, take a seat on the Board and will initially
invest SEK 6 million via its second fund, InnKap II. If Pangea progresses as planned,
InnovationsKapital will participate in future financing activities.
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“Pangea Fiber Optics is a very attractive fiber optics company which has significant potential
and is now in its start-up phase. Independent analysts expect the market for the company’s
products to be worth around USD 15 billion by 2003,” says Staffan Ingeborn, Managing
General Partner of InnovationsKapital.
Investment during the start-up of a business entails large risk, but also considerable
opportunity, as illustrated by the investment InnovationsKapital made two years ago in
Altitun. When Altitun was sold a few weeks ago, InnovationsKapital’s SEK 15 million
investment, corresponding to 15% of the share capital, was worth around SEK 1 billion.
Pangea Fiber Optics develops equipment based on fiber optic technology for monitoring
WDM systems within the broadband sector of the telecoms industry. The company is a spinoff from the Institute for Optics Research in Stockholm (now called Acreo). There are still
links between the two organisations.
“Teaming up with InnovationsKapital means that we have an owner with financial strength
who can also contribute expertise and contacts to boost our future development,” says Raoul
Stubbe, Managing Director of Pangea Fiber Optics.
Göteborg, Sweden, 5 June 2000
InnovationsKapital
For further information, please contact Staffan Ingeborn, [email protected],
tel.+46(0)31-60 91 91 or +46(0)705-83 14 34
and Adel Asseh, [email protected],tel. +46(0)8-750 68 90 or
+46(0)70-450 31 02
InnovationsKapital is one of Sweden’s leading venture capital companies for knowledge-intensive and
innovative Nordic growth companies in their early stages in the Information & Communication Technology and
Health Care sectors. Total capital amounts to SEK 550 million, divided between two funds, which include
investors from reputable Swedish and international institutions.
Long experience, links with researchers and a well-developed network give InnovationsKapital access to unique
know-how, which it uses to assess the development and growth potential of businesses. This experience is
exploited in one of the industry’s most highly developed investment processes.
Further information can be obtained at: www.innkap.se