Startup Insider Daily VC Talk - Thomas Preuß, Managing Partner from DTCP
Key Details
- Guest: Thomas Preuß, Managing Partner of DTCP
- Moderator: Jan Thomas
- Firm: DTCP (Deutsche Telekom Capital Partners)
- Focus Areas: Growth investment in enterprise software; Digital infrastructure
DTCP Overview
- Independent investment firm with two complementary strategies:
- DTCP Growth: Focus on enterprise software, offers operational support, global network
- DTCP Infra: Invests in digital infrastructure (fiber networks, data centers, mobile towers) to accelerate digital transformation
Firm Background
- Founded in 2015 by Vicente Vento and spun out from Deutsche Telekom
- Initial capital came with no strategy or team, later developed robust frameworks and strategies
- Offices globally, managing over $2.3 billion
- Previously linked to assumption of being a small or regional investor; now recognized as significant European player
Investment Strategy & Approaches
Growth Investment Criteria
- Specializes in B2B software, focusing on digitalization and automation
- Data-driven investment process combining quantitative and qualitative assessments
- Benchmarks financial performance, efficiency metrics before deeper qualitative analysis
- Focus on later stages starting at Series B, well-established companies
Market Impact
- Aims to support the European software and tech landscape, enhancing Europe’s ability to produce market leaders
- Development from seed to later stages well-monitored and analyzed
- Operates with structured market screening and relationship building
Portfolio Highlights
- Notable for high number of exits (approx. 11 out of 32 investments since 2015)
- Focus on scaling enterprises to market leaders; proactive in both entry and exit strategies
- Investments: examples include involvement in cybersecurity, cloud infrastructure, vertical solutions (e.g., CRM for SMBs)
Current Market Context
- Conservative investment approach compared to US counterparts: focuses on efficiency, profitability, and sustainable growth
- Adapted well through market highs and the current downturn, gaining positive feedback for strategic caution
Challenges and Efforts for European Ecosystem
- Europe still lacks large-scale investment capital compared to the US – DTCP aims to bridge this gap
- Promotes building a strong European investor presence to support local innovation and retain talent
Value Creation & Differentiation
- Supports portfolio companies with business development, strategic connections (e.g., Deutsche Telekom, other enterprises)
- Provides operational aid, readiness for market adoption, and growth strategies
- Helps startups understand and prepare for enterprise-level demands and security standards
Fund Management
- Currently raising the third generation fund amidst a challenging economic environment
- Despite challenges, consistent in attracting investments due to robust performance metrics and cautious investment philosophy
Additional Insights
Market Potential & Investment Scouting
- Extensive data-driven market tracking and scouting to identify promising players early on
- Building long-term relations with entrepreneurs, offering guidance prior to potential formal investments
Sector-specific Insights and Success Stories
- Notable success with companies like Signavio, Pipedrive, Aircall
- Offers substantial support during enterprise onboarding and scaling phases
Conclusion
DTCP exemplifies a strategic mix of cautious, data-driven investment in later-stage technology companies and meaningful operational support, fostering a strong European presence in the tech investment ecosystem.