Sun, Sep 21, 2014
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Private Equity Strategies

New Ventures: SEB Venture Capital invests in 3D graphics business

Tuesday, July 23, 2013

By: Bailey McCann, Private Equity Strategies

The venture capital arm of SEB, the Northern European financial Group is getting into 3D with a new transaction. SEB Venture Capital has invested in Donya Labs AB, a global leader in optimization of 3D graphics for computer games. The new capital will enable accelerated growth and diversification towards computer-aided design (CAD), architecture and film.

SEB Venture Capital has been investing in venture capital transactions for the past 18 years. With a capital base of SEK 2.5bn, it currently has 28 portfolio companies within technology and life science and has completed 70 exits since inception.

“We already have an investment in this segment, that produces 2D and 3D graphics. So, we are quite familiar with the market, and we think that the market will grow including 3D printing especially in areas like CAD,” says Ulf Lewander, Investment Manager, SEB Venture Capital, in an interview with Private Equity Strategies.

Donya Labs AB has developed unique software called Simplygon, to automatically optimize advanced 3D graphics. Traditionally, optimization of 3D graphics has been expensive and time consuming as a manual process. By automatically optimizing 3D graphics for applications such as real-time visualization, interactivity and 3D printing, workflows can be streamlined and integrated.

“We believe the new business model which operates a cloud version of the technology will open a huge market opportunity,” Lewander says. “Right now the company only sells licensing to high end gaming companies. Those companies pay thousands of dollars per license, per game. We have been able to prove that one 3D model at a time done on the cloud is also justifiable.”

SEB Venture Capital has subscribed to a new share issue of SEK 10m focused on growing this cloud offer and adding new geographies to the company’s footprint. SEB and Donya Labs will be looking for additional subscribers in for a serial round B in the future.

Lewander notes that SEB Venture Capital is focused on finding companies like this that can move from one niche to a broader market. “We are looking for companies that have already proven themselves in tough spaces, going forward we think that will be mostly in software, not hardware.”

 
This article was published in Opalesque's Private Equity Strategies our monthly research update on the global private equity landscape including all sectors and market caps.
Private Equity Strategies
Private Equity Strategies
Private Equity Strategies
Private Equity Strategies


Today's Exclusives Today's Other Voices More Exclusives
Previous Opalesque Exclusives                                  
More Other Voices
Previous Other Voices                                               
Access Alternative Market Briefing


  • Top Forwarded
  • Top Tracked
  • Top Searched
  1. SEC charges 19 investment firms and one trader for breach of Rule 105[more]

    Benedicte Gravrand, Opalesque Geneva: The Securities and Exchange Commission (SEC) started a push to enhance the enforcement of Rule 105 of Regulation M last year to uncover hedge funds and private equity firms that have illegally participated in an offering of a stock after short selling it duri

  2. Fund managers, bullish on Europe, anticipate monetary policy separation of Fed and ECB[more]

    Komfie Manalo, Opalesque Asia: At least 202 fund managers with $556bn of assets under management said that while the European Central Bank (ECB) has eased its monetary policy that sent sentiments towards Europe to pick up, the Fed is expected to hike its rate in the spring of 2015. Investor

  3. Institutions - North Carolina workers call on state pension to dump up to $6bn in hedge funds, UK pension fund criticizes hedge fund fees[more]

    North Carolina workers call on state pension to dump up to $6bn in hedge funds From Forbes.com: The State Employees Association of North Carolina this afternoon called on state Treasurer Janet Cowell to withdraw all investments in hedge funds, which appear to amount to approximately $6 b

  4. News Briefs - Limited partners of investment managers may be subject to self-employment taxes, Just one week left until NYC's Rocktoberfest[more]

    Limited partners of investment managers may be subject to self-employment taxes On September 5, 2014, the Internal Revenue Service (“IRS”) issued Chief Counsel Advice 201436049, concluding that members of an investment manager were subject to self-employment taxes with respect to their e

  5. Institutions - Adviser's faith in hedge funds unshaken by CalPERS' move Advisers weigh in on CalPERS’ decision, Gina Raimondo sees no reason to follow California’s lead, exit hedge funds, Danish pension funds step up 'alternative investments'[more]

    Adviser's faith in hedge funds unshaken by CalPERS' move From WSJ.com: Financial advisers who use hedge funds in their clients' portfolios say they aren't rethinking that approach after a huge California pension fund announced plans to exit the hedge-fund market. The decision by the Cali