Corporates act as VCs in search of new business areas

There are a few dozen ‘corpo­rate VCs’ in Germany. Corpo­rate venture capi­tal compa­nies’ are subsi­dia­ries of large compa­nies that make stra­te­gic invest­ments for the parent company — usually in line with its core busi­ness. In contrast to other venture capi­tal (VC) compa­nies, they target both the return on the funds inves­ted and the added value that can be gene­ra­ted from syner­gies between the parent company and the finan­ced part­ner company. — Why are more and more large compa­nies setting up their own VC units and what do they expect from them?