Start-Up Interest

Venture Capitalists Circling Over Berlin

Christian Reber is one of the founders of 6Wunderkinder. Hi app helps to organize To-Do lists. Source: archiv-klar
Christian Reber is one of the founders of 6Wunderkinder. His app helps to organize To-Do lists.
  • Why it matters

    Why it matters

    Germany and especially its capital Berlin, is becoming a new fertile ground for investors looking for sophisticated start-ups.

  • Facts

    Facts

    • Microsoft has acquired Berlin-based software start-up 6Wunderkinder for an estimated $100 to $200 million (€90 to €180 million).
    • In 2014, holding companies invested €2.2 billion in technology and internet companies in Germany.
    • During the first quarter of 2015, there were 30 initial public offerings and acquisitions in the country.
  • Audio

    Audio

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When Berlin-based software firm 6Wunderkinder started out in 2010, one of Berlin’s many hopeful new start-up companies, Christian Reber and his five co-founders probably couldn’t imagine they would one be bought by U.S. technology giant Microsoft.

That fantasy has became reality, the company confirmed on Tuesday. Microsoft acquired the Berlin firm for an estimated $100 to $200 million, or €90 to €180 million, according to U.S. media reports. The principal product of 6Wunderkinder is a smartphone application that assists with organizing and planning to-do lists more effectively.

“With our partnership with Microsoft, we get access to a pool of expertise, technology and colleagues of which we only dreamed of when we were on our own,” said Mr. Reber.

6Wunderkinder is hardly the only German start-up that has recently attracted U.S. investors. Other large tech companies and venture capitalists from oversees have started to take a closer look at Germany, its capital Berlin, and its budding technology scene.

In 2014, holding companies invested $2.45 billion in the country’s technology and internet companies, according to the German Private Equity and Venture Capital Association, based in Berlin.

“The venture capital market in Germany exploded last year,” said Lydia Benkö from Digital Capital Advisors, a German-U.S. consultancy firm, which specializes in the acquisition of start-up companies.

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