Italian Founders Fund (IFF), the first Italian venture capital fund created by founders for founders, has secured an additional €35M from CDP Venture Capital’s Digital Transition Fund, bumping its assets under management to €90M. The new backing leverages resources earmarked by Italy’s National Recovery and Resilience Plan (PNRR), with a laser focus on fueling early-stage innovation and attracting internationally ambitious tech talent to Italy.
IFF’s playbook isn’t just about capital. With 100 of Italy’s most seasoned digital entrepreneurs on tap, it promises founders both a cash runway and hands-on mentorship at the crucial juncture between seed and scale. Those in IFF’s orbit gain navigation support that far outpaces traditional venture models, turning startup funding into collaboration with operators who’ve scaled before.
Strengthening Italy’s startup ecosystem and global ties
Launched in June 2024, IFF has already invested in 14 startups founded by Italians and operating in markets including Italy, the UK, the US, and Singapore. The fund has participated in four follow-on rounds, such as those for Jet HR and Sava, reflecting what it describes as the increasing maturity and international reach of the Italian startup ecosystem.
IFF has also co-invested alongside global funds including Base10 Partners, Picus Capital, Balderton Capital, Dutch Founders Fund, Kfund, and Y Combinator, deepening links between Italy and major global innovation hubs. With its expanded capital base, the fund plans to back companies across the entire early-stage cycle, from pre-seed through to later-stage rounds, while attracting further overseas investment into Italy.
IFF leadership is driving strategic growth
The fund is led by partner Lorenzo Franzi and has recently promoted former principal Irene Mingozzi to partner. Both are also partners at Koinos Capital SGR, the independent management company that launched IFF as part of its multi-strategy investment platform.
Franzi said: “It is the right time to give entrepreneurs and their startups an extra boost, as confirmed by the track record that IFF has been able to build in a short time. The Italian ecosystem is changing its skin: it is more mature, more attractive, more international. With IFF Expansion, we want to strengthen this trend, supporting not only the best Italian ideas, but also the international ones that want to build in Italy.”
Backing innovation in line with national priorities
IFF’s latest funding round aligns with Italy’s digital transition objectives under the PNRR. The Digital Transition Fund, which focuses on supporting the country’s digital transformation, views the partnership as a way to accelerate the development of high-potential startups.
Enrico Filì, head of the Digital Transition Fund at CDP Venture Capital, commented: “The investment in IFF Expansion represents a strategic step for us to support the development of the best Italian digital startups even more strongly. We firmly believe in the country’s innovative potential and, thanks to the international network of the IFF team, we aim to attract capital and skills from abroad as well, in line with the objectives of the PNRR. IFF is a solid partner for startups, a guarantee of support both on an entrepreneurial and technological level.”
