TLDR:
- Forestay Capital announces $220 million fund targeting enterprise AI and SaaS sectors
- Fund focuses on companies at their inflection points, aiming to help them scale significantly
Forestay Capital recently closed its second fund at $220 million, targeting investments in the enterprise AI and Software-as-a-Service (SaaS) sectors. The success of their first fund, Forestay I, gives the company a good track record, with three unicorn companies and two acquisitions. The new fund, Forestay II, has already started deploying capital and has partnered with startups like Veriti and Neural Concept in the enterprise AI space.
Managing partner Frederic Wohlwend highlighted the importance of the team at a company and emphasized Forestay’s approach of going beyond financial investment to provide entrepreneurial capital, focusing on helping companies scale significantly. Wohlwend sees a significant opportunity for AI in enterprise applications but also warns against hasty adoption without proper alignment and data quality.
Looking ahead, Forestay plans to continue focusing on the enterprise SaaS, B2B, and AI spaces while exploring potential vertical funds in cybersecurity and digital health. They also plan on expanding geographically, establishing a stronger presence in the U.S. while maintaining roots in Europe and Israel.
