Valhalla shakes up gaming, deeptech with $66m fund

Valhalla Ventures, a venture capital firm dedicated to supporting bold innovators in the realms of deeptech and gaming, has today unveiled its maiden $66 million flagship fund. This fund has been specifically set up to invest in audacious entrepreneurs ready to disrupt the status quo in these sectors.

The firm positions itself as a courageous early-stage investor, backing ground-breaking technologies and innovative ideas long before they hit the mainstream. The new fund will predominantly target seed-stage companies in deeptech and gaming.

In deeptech, Valhalla’s interests lie in fields like materials science, biology, energy generation and storage, and space technology. In gaming, the firm will be looking to support novel and underfunded gaming mediums with a strong focus on social experiences.

“Capital is hard to come by, particularly for new funds like us. We are privileged to have the backing of some of the most accomplished founders, executives, corporations, and family offices worldwide,” says Devan Malhotra, a general partner at Valhalla, who leads the firm’s gaming practice.

He adds, “We intend to restore the original essence of venture capital, reminiscent of when early investors in Silicon Valley, like Georges Doriot, worked directly with bold entrepreneurs to tackle the world’s toughest challenges.

“We believe the VC industry has lost its way, with many funds impulsively backing ‘tier 1’ led deals, while focusing more on social media and fundraising than supporting their portfolio companies. We plan to steer away from this trend by focusing on non-traditional sectors – gaming and deeptech – and working closely with the engineers, creatives, and scientists shaping our future.”

Valhalla’s Fund I has been actively making investments since early 2022, acquiring 15 core positions to date.

The fund will continue investing until early 2025. On the deeptech side, firms such as Terran Biosciences and Avery Digital are transforming the definition of a biotech company, while Irradiant Technologies is advancing nanofabrication.

In the gaming industry, Incredible Dream is using board games to create the next billion-dollar IP franchise, and 1v1Me is developing a platform that allows gamers to compete and wager on their favourite streamers.

“Valhalla Ventures backs tenacious entrepreneurs addressing clear problems with ingenious solutions that push the limits of science and engineering,” says Rohan Pujara, a general partner at Valhalla, leading the firm’s deeptech investments.

He adds, “The most significant problems we face today will not be solved by marginally improved software, but by breakthroughs in physical technology. We are seeking businesses built around critical technology, with captive markets, relying on superior engineering, execution, and scale-up.”

Valhalla Ventures is closely monitoring the blossoming ecosystem of deeptech companies evolving around SpaceX. “SpaceX is breeding a new generation of engineers that have a unique approach to problem-solving. This includes questioning assumptions, simplifying processes, rapid execution, and automation. SpaceX is continuously innovating, making it an ideal breeding ground for technical entrepreneurs wanting to solve seemingly impossible problems,” says Pujara.

Valhalla has made recent investments in two companies founded by ex-SpaceX engineers, K2 Space, and Starpath Robotics. The former is developing high-powered satellite platforms for the next generation of space exploration, while the latter aims to refuel vehicles, such as SpaceX’s Starship, on the lunar surface.

“Bunch welcomed Valhalla Ventures to our team during our latest round. They quickly became one of our most insightful and helpful partners, making valuable connections to strategic partners and key players in the media and entertainment industry.

“Their deep understanding of our market and strong conviction has been invaluable. Any founder would be fortunate to have them on their side,” says Selcuk Atli, founder of Bunch, a company creating a mobile digital world for gamers to communicate, share, and play together.

Valhalla Ventures was established in 2020 by Devan Malhotra, Matthew King, and Rohan Pujara. Before the launch of Fund I, Valhalla invested $27 million via Special Purpose Vehicles in eight companies across deeptech, gaming, and blockchain.

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