Italian venture capital firm Primo Capital has announced the launch of Primo Space 2, a new investment fund designed to accelerate the growth of businesses developing space and dual-use technologies.
Based in Milan, the firm aims to strengthen Europe’s position in one of the fastest-growing innovation sectors by backing companies building technologies for both commercial and defence applications.
The new fund is expected to support startups and scaleups from their earliest stages through Series B financing, ensuring promising ventures have access to long-term capital as they expand.
Strong Institutional Backing Before First Close
Primo Space 2 has already secured commitments exceeding €70 million ahead of its anticipated first closing, which is expected after the summer.
The fund is targeting a total raise of €120 million, reflecting growing investor confidence in the European space technology ecosystem.
Among the fund’s supporters are several Italian and European institutional investors, including the European Investment Fund, highlighting significant public-sector confidence in the commercial potential of space innovation.
Leadership Team Combines Investment and Scientific Expertise
The fund will be managed by General Partners Matteo Cascinari, Ilaria Cavalleri, and Giorgio Minola, with strategic guidance from Professor Roberto Battiston, the former President of the Italian Space Agency.
Their combined expertise is expected to help identify emerging technologies with applications ranging from satellite infrastructure and advanced aerospace systems to defence-related innovations and downstream space services.
Investment Strategy Covers the Entire Space Value Chain
Primo Space 2 plans to continue investing across every stage of the space economy, supporting businesses involved in both upstream technologies, such as hardware and infrastructure, and downstream applications that transform space-based data into commercial solutions.
While maintaining a strong European focus, the fund intends to nurture companies capable of competing on the global stage by providing capital alongside industry expertise and strategic connections.
Building on Years of Sector-Specific Experience
According to Primo Capital, the new fund is built upon more than eight years of developing a specialised investment ecosystem dedicated exclusively to space technologies.
That ecosystem includes deep technical knowledge, an extensive network of scientific and industry advisers, established relationships with major aerospace stakeholders, and one of Europe’s most specialised venture capital teams focused solely on the space sector.
First Space Fund Delivered Significant Growth
Primo Capital’s confidence in launching a second dedicated fund follows the performance of its inaugural Primo Space Fund, introduced in 2020.
Since its launch, the first fund has invested in 19 companies across six countries, helping portfolio businesses attract more than €470 million in follow-on funding—over eight times the original capital invested.
The portfolio has also delivered notable economic impact, generating more than €115 million in revenue, with 69% of sales coming from international markets.
Employment Growth Highlights Broader Economic Impact
Beyond financial returns, Primo Space Fund has contributed significantly to employment across the European space industry.
Its portfolio companies now collectively employ approximately 900 people, with more than 600 new jobs created since the fund made its first investments.
The results underscore the growing role venture capital continues to play in supporting innovation, skilled employment, and Europe’s expanding presence in the global space economy.
Summary
Primo Capital has launched Primo Space 2, a new venture capital fund targeting €120 million to invest in European space and dual-use technology companies.
Backed by more than €70 million in commitments from institutional investors, including the European Investment Fund, the initiative builds on the firm’s successful first space fund, which has supported 19 companies, attracted substantial follow-on investment, created hundreds of jobs, and generated strong international revenue growth.
