German startup Vsquared challenges Atomico, Balderton in London

One of Europe’s most established deep-tech investors, Munich-based Vsquared Ventures, is making a strategic push into the UK by opening a new office in London. While the firm presents this as a fresh expansion into new territory, public records suggest the move has been in the works for much longer. According to Companies House, the German deep-tech specialist quietly registered a UK entity back in October 2024, roughly 18 months before the public announcement.

Vsquared Ventures has earned a reputation as one of the continent’s largest early-stage deep-tech funds, successfully raising significant capital to back transformative technologies. Now, by planting a flag in London, the firm is signaling its ambition to compete directly with established UK venture capital players like Atomico and Balderton Capital.

The London office is expected to give Vsquared closer access to Britain’s thriving tech ecosystem, which remains a powerhouse for hardware, engineering, and scientific innovation. For a fund focused on deep tech, this geographic expansion makes strategic sense, especially as the UK government continues to push policies supporting R&D and deeptech startups.

Yet the timing of the announcement, paired with the earlier incorporation, suggests that Vsquared has been quietly laying the groundwork for this move long before going public. It reflects a calculated approach to scaling its footprint in a competitive market, rather than a sudden pivot.

With this expansion, Vsquared is not just opening a new office; it is positioning itself to challenge the dominance of London’s top-tier VC firms, bringing its deep-tech expertise and capital to a city already buzzing with innovation.