The German government wants to restructure the financing of technology startups in Germany. The DeepTech & Climate Fund (DTCF) is to be housed under the umbrella of the High-Tech Gründerfonds from 1 February 2026 (HTGF) will be continued. The goal is a combined public-private venture capital platform that consistently supports innovations in key technologies – from the early stages to scaling.
The integration creates a joint investment structure that combines the strengths of both funds. HTGF is one of Europe's most active early-stage investors, while DTCF focuses on providing targeted growth financing for deep-tech and climate-tech companies. Together, they aim to establish a comprehensive financing architecture that fosters innovation in areas such as artificial intelligence, biotechnology, semiconductor technologies, and energy.
Achim Plum, Managing Director of HTGF, emphasizes:
“With the vision of a joint investment platform, we are creating the public-private VC platform that Germany and Europe need right now: end-to-end innovation financing – from the technological idea to the market leader. HTGF and DTCF are already jointly invested in companies such as FMC or Proxima Fusion – this shows how seamlessly our approaches complement each other.”
The German Federal Government also commissioned HTGF to set up a fifth generation of its seed fund. The new fund is scheduled to launch in mid-2027 and will seamlessly follow on from the current HTGF IV.
Strengthening deep-tech financing in Germany
The merger is part of a long-term strategy to consolidate and streamline innovation and technology financing in Germany. The DTCF remains a key component of the Future Fund, which has a budget of €10 billion. Venture capital provision strengthens technology-oriented startups.
Elisabeth Schrey, Managing Director of the DTCF, explains:
"Over the past three years, the DTCF has established itself in the market and built a portfolio of currently 19 impressive companies. With large investment syndicates like those involved with The Exploration Company or Cylib, tech companies were given more time to develop and scale during their early growth phase."
Also Janina Jänsch, Head of Department at the Federal Ministry for Economic Affairs and Energy, sees integration as an important step:
"One of the central questions of our time is: Where will our prosperity of tomorrow come from? One key lies in innovative strength. The DTCF has demonstrated in a very short time how targeted growth financing promotes innovation and technology in Germany, and how essential the cooperation between the state and private investors is in this process."
The new model creates a venture capital structure that maps the entire innovation chain. By pooling capital, know-how, and networks, German and European technology startups should be able to grow faster in the future.
