Deeptech

Deeptech investing is the toughest asset class

Investing in Deeptech is not the same as investing in technology. There are three main reasons why it is a new asset class with its own set of key success factors that must be fixed with sharp selection, specific expertise, and dedicated operations:

More complexity that must be properly understood to avoid losing potential

Deeptech companies have complex basic and applied sciences at their core. Not only do they have to transform them into a perfect market fit with the best go-to-market strategy, but they also have to meet the industrial challenge.

This challenge is twofold: either to produce the solution with industrial equipment or to address industrial activities with specific requirements that represent barriers to be overcome.

More time that can be shortened with specific operations

Those Deeptech companies often require a longer development time and higher investment than classic tech companies.

This concern can be offset depending on the maturity at investment and the capabilities in place or added to reach the market and scale.

More customized support to overcome bottlenecks and reach success

Deeptech companies need strong and customized support that can vary a lot regarding their situation ( business model, go to market, industrialization, scaling, etc…). They need protection, know-how and operational support during their lifetime.

Our goal is a high level of success and the strengthening of their competitive advantage. We built a support for that.

But it offers a high potential return

Deeptech companies are tackling the most environmental and human challenges of the 21st century. Any success will bring unprecedented and generational returns on investment:

Highest potential value

Scalable Deeptech brings valuation largely above classic SaaS level

Standalone EV/Sales multiple that can reach 10x+ in addition to large premium to be valued at exit

Core Deeptech assets also brings a high intrisic value and very high potential corporate synergies at exit

Highest strategic needs

From corporates

90% of large EU companies project or want to invest in disruptive innovations

From funds

Strong expected capital allocation in Deeptech Impact funds as it is the most promising sector in the private equity asset class with the highest risk-adjusted return

From governments

French and European governments have as their ultimate priority France 2030, and Horizon Europe plans to stay competitive, maintain sovereignty, and solve the critical challenges of the 21st century

WE ALLOCATE CAPITAL IN THE RIGHT SECTOR

IRON HANDS CAPITAL only invests in companies that meet our three capital allocation criteria: in the right place, with the right company and at the right time. By adhering to this thesis, we can ensure that we stay true to our philosophy of investing in companies that can fulfill our dual mission of delivering breakthrough solutions and creating the highest value for all of our stakeholders.

Investing in technologies based on applied and pure sciences

Our primary target technology areas are applied to engineering, but we are sector agnostic if the company's activity is fully aligned with our progress thesis.

Computer sciences

Mechanical and Electrical Engineering

Biological and Chemical

Process and Urban Systems

Targeting Deep Technologies solutions

IRON HANDS CAPITAL targets ideas and solution technologies based on applied sciences that leverage the vital fundamental sciences of physics, chemistry, biology, mathematics, cybernetics, geosciences, and astronomy to create unique innovations, whether incremental or fundamental.

Our advanced and Deep Technology acknowledgment

Advanced Technologies that represent a significant improvement for incremental innovation

Deep Technologies based on scientific breakthrough discovery, with applications never seen before

Our type of solutions

Software
‍
Hardware

Technology-as-a-service

Industrial product

TARGETING THE PERFECT COMPANY

Seeking for smart business model

To deliver the highest value, companies must be focused on critical activities, have scalability, and possess unique intellectual property (IP) and know-how. These three factors are critical in today's highly competitive and rapidly evolving business environment

B2B business model

Ambitious scalable solution

Unique selling point and IP

Empowered by sharp executives

IRON HANDS CAPITAL looks for teams with a high level of maturity, a clear vision and mission, strong execution skills, and the ability to run a business that can lead to market disruption

Led by a strong management team

Settling in at the strategic level

Capable of delivering high-quality businesses

AND INVESTING AT THE PERFECT TIME

IRON HANDS CAPITAL invests in companies when they fit our allocation criteria perfectly. We wait for the perfect time to make the ideal entry when the company needs it most and when external and internal forces are most aligned.

Waiting for the perfect momentum

We Invest at the perfect time when it meets our business allocation criteria at 100%.

When market forces are aligned, or ready to be, and assessed

When the cost of capital is the most appropriate (stage, use of funds)

When we have the highest operational edge

We make an investment when our operational value to the founders is at its highest

Structure the company's governance and information rights

Bring a partnership network of doers to accelerate the level of business readiness

Leverage a business network of decision-makers to quickly gain market share

Ensure that promises for progress are kept, even in difficult situations

Being flexible at various stages and moments

Flexibility

Size, maturity, and tickets with our multiple fund strategies

Footprint

Companies headquarter based in Europe

Position

Minority position, depending on the context

Lead

To ensure the effectiveness of our support

Horizon

4 to 6 years

With Deeptech standing for our best paradigm, we allocate capital in the right sector, targeting the perfect company and investing at its perfect time

With Deeptech standing for our best paradigm, we allocate capital in the right sector, targeting the perfect company and investing at its perfect time