Lakestar to further consolidate focus on defence investments

In a significant strategic pivot announced in October 2025, Klaus Hommel’s Lakestar will cease raising new generalist venture funds to concentrate on maximizing the value of its existing portfolio and pursuing specialized, thesis-driven investments.

Hommel stated the firm will now make larger, more concentrated bets using its own capital, allowing for greater agility and a focus on “visionary” ideas without the structural constraints of traditional LP fund management.

This shift reflects a challenging European VC market, which has seen fundraising fall to its lowest level in a decade, and a broader move away from generalist strategies toward specialized, deep-tech-focused funds.

Lakestar’s new strategy will heavily target European defense and resilience, an area Hommel has increasingly championed, supported by his role as chairman of the NATO Innovation Fund. Substantially, Hommel is reportedly raising a separate, dedicated defense fund of around €250-€300 million.

Lakestar will continue to support its high-potential portfolio companies, which include Revolut, Helsing, and Isar Aerospace, through targeted investment products. This move marks a pivotal moment for European venture capital, signaling a definitive end to the era of the generalist mega-fund and a realignment toward strategic, sovereign-focused technological investment.

Sources:
Forbes
Pathfounders
Tech.eu

B.S.