Diffusion Capital Partners

Diffusion Capital Partners (DCP) is a new technology accelerator and seed venture fund in Turkey. Since seed stage capital is a scarce resource in Turkey, I’m very happy that DCP is arriving to the scene.

The fund, which has a 35M Euro target, recently completed its first close at 30M Euros. I reached out to Omer Hiziroglu, a partner at DCP, to get more detailed information about the fund. Here’s what Omer has to say:

  • We are 4 partners and will soon hire 1 or 2 associates
  • We don’t have a sector focus but we do not do e-commerce. We particularly like to see biotech, green energy, agritech, robotics, and IT startups.
  • What we really want are projects whose competitive advantage comes from a technological edge. Ideally, although not necessarily, this comes in the form of patent protection. In fact, we can also invest directly in intellectual property (ie. patent acquisition with a licensing strategy).
  • We particularly target startups from university campuses, research centers, and spin-offs from Teknoparks.
  • We invest at 3 stages: Proof of concept – Up to 100K Euros; Pilot and prototype: Up to 350K Euros; Seed and early stage: Up to 2M Euros

DCP is going to help fill the large gap for the seed funding of IP driven projects in Turkey. I hope that Omer and the rest of the DCP team produce a very successful fund as this will attract further capital to the sector in the future.