Despite a decline in venture investment in New Zealand in 2023 due to global economic uncertainty, 2024 saw a rebound with a record $350 million in venture and early-stage investment. Outset's Fund II is supported by a mix of local and international investors, reflecting New Zealand's capital-efficient and technically proficient startup environment. While international capital remains challenging to secure due to distance and a smaller local investor base, New Zealand's track record in deep tech positions it well to tackle global challenges.
Key takeaways:
- Outset Ventures has closed its second fund at $41.5 million NZD to support startups focused on hard science and engineering breakthroughs, particularly in energy generation and storage.
- OpenStar, a nuclear fusion startup, and EnergyBank, which focuses on long-duration energy storage for offshore wind, are key examples of Outset's deep tech investments.
- Despite a challenging global economic environment, New Zealand's venture and early-stage investment reached a record high of $350 million in 2024, reflecting a rebound from 2023.
- Outset Ventures' strategy includes providing access to a 60,000 square-foot facility in Auckland to help de-risk deep tech startups by offering lab and engineering resources.