COPENHAGEN — Venture capital firm KOMPAS VC closed its second fund at €160 million on Tuesday to back early-stage startups working in industrial artificial intelligence, robotics, and decarbonisation. The Copenhagen-based firm secured the capital through commitments from investors including philanthropic organisation Realdania, which joined the pool as a limited partner.

Realdania brings its philanthropic focus on the built environment directly to the investor registry, adding specialized resources alongside traditional financial backers. Partners at KOMPAS VC write cheques to young companies building software and hardware for heavy industries trying to cut carbon emissions. Those startups spend the cash on engineering payrolls, lab equipment, and testing facilities.

Fund II targets sectors where traditional manufacturing and logistics firms buy automation tools to meet environmental regulations. KOMPAS VC targets early-stage rounds, taking equity stakes in exchange for capital. Industrial players face mounting pressure to adopt sustainable practices, forcing corporate buyers to source new software and robotics from venture-backed suppliers.

Startups use the funding to scale engineering teams and build out testing infrastructure for heavy industrial applications. The final close brings the firm's total capital dedicated to the strategy to €160 million. KOMPAS VC backs founders building systems that alter how factories operate and supply chains move goods.

The firm writes early cheques into companies attempting to commercialize unproven hardware and enterprise software. Heavy industries generate massive carbon footprints, and founders are building decarbonisation tools to cut emissions. KOMPAS VC deploys capital into these specific verticals because traditional manufacturing and logistics operations require heavy retrofitting to meet modern environmental standards.