The venture capital landscape is experiencing a significant recalibration, prompting a renewed focus on foundational innovation and disciplined investment strategies. Amidst this shift, Snatched Ventures, an institutional early-stage deeptech firm, is making a notable entry, aiming to raise a $100 million fund. Led by Managing General Partner Kevin Colas, the firm is dedicated to backing companies poised to drive sustainable operational transformation and efficiency through the application of advanced scientific technologies. This initiative is designed to address complex engineering challenges with substantial environmental, economic, and social impact, focusing on solutions ready for immediate deployment and scale.
The Genesis and Philosophy of Snatched Ventures
Snatched Ventures represents the evolution of a successful investment track record. Kevin Colas initially established the Empire Angel Collective (EAC) in 2020, which served as the de facto Fund I. Over its operational period, EAC strategically deployed approximately $10 million across more than 40 startups, demonstrating a strong inclination towards deeptech investments. Concurrently, Alessandro, now Co-General Partner at Snatched Ventures, spearheaded deeptech investments at Hyundai’s corporate venture capital arm, further honing expertise in this specialized domain. The combined experience of Colas and Alessandro underpins Snatched Ventures’ formation, allowing the firm to leverage a proven methodology and a robust network.
Colas emphasizes that the firm’s philosophy is rooted in a return to the "real DNA" of venture capital. This approach advocates for not just providing capital, but actively engaging with portfolio companies through a hands-on methodology. This includes connecting startups with clients, strategic partners, vetted vendors, and professional services, as well as assisting with new hires, refining strategy, planning go-to-market (GTM) execution, and instilling financial discipline. This ethos, Colas suggests, is a direct counter-narrative to the prevailing "growth at all costs" mentality that characterized previous market cycles, particularly during the 2019-2022 venture bubble.
A Disciplined Approach to Deeptech Investment
Snatched Ventures distinguishes itself through a highly focused and financially stringent investment strategy. The firm targets the intersection of eight critical science-based technologies: Artificial Intelligence/Machine Learning (AI/ML), materials science, advanced manufacturing, biotechnology, optics, electronics, robotics, and blockchain. These technologies are applied across six core thematic areas where the team possesses deep expertise and a successful investment history: transportation & logistics, energy & water, food & agriculture, fashion & beauty, precision medicine & aging, and retail & e-commerce.
The emphasis is on identifying companies that can solve complex engineering problems with tangible, immediate impact, rather than those requiring a decade or more for commercialization. This "ready-to-deploy and scale now" mandate is crucial for delivering value within typical fund cycles.
To ensure financial rigor, Snatched Ventures employs a strict set of underwriting filters, known as the "4Fs":
- Minimum Early Revenue: Companies must demonstrate at least $1 million in early revenue. This criterion helps to de-risk investments by focusing on ventures that have achieved initial market validation and customer traction.
- Gross Margin: A minimum gross margin of 50% is required, indicating a healthy unit economics and potential for scalable profitability.
- Cash Conversion Score: A cash conversion score of 0.25x or higher ensures that companies are efficiently turning their sales into cash, a vital indicator of operational health and financial sustainability.
- Revenue-to-Capex Ratio: A ratio of 3x or greater signifies that a company’s revenue generation significantly outpaces its capital expenditure, suggesting efficient asset utilization and sustainable growth.
These stringent financial metrics guide Snatched Ventures in leading Series A rounds and opportunistically participating in Seed and Series B rounds, provided minimum ownership and the 4Fs criteria are met. The firm’s objective is to back companies that seamlessly integrate environmental and financial sustainability, positioning them to thrive across diverse economic cycles.
Chronology of Success and Performance Benchmarks
The foundation of Snatched Ventures is built upon a compelling track record established through the Empire Angel Collective. Since 2020, EAC has consistently demonstrated top-decile performance, reflecting the strategic foresight and operational acumen of its leadership. The combined investment activities of Colas and Alessandro have yielded impressive metrics:
- Total Value to Paid-In Capital (TVPI): 4.4x – This indicates that for every dollar invested, the fund has generated $4.40 in value. This figure significantly outperforms many industry benchmarks for early-stage venture funds, which often hover around 2-3x TVPI.
- Distributed to Paid-In Capital (DPI): 151% – This metric signifies that investors have already received back 1.51 times their initial capital, showcasing tangible returns and successful exits. A DPI above 100% is particularly strong for a relatively young fund, indicating robust liquidity and a clear path to returning capital to Limited Partners.
- Loss Ratio: A remarkably low 1.6% across 24 transactions involving 22 companies. This exceptionally low loss ratio underscores the effectiveness of their rigorous due diligence and selective investment approach, minimizing capital at risk.
These metrics are further bolstered by a strong portfolio of successful outcomes, including the emergence of five unicorn companies, one successful IPO exit, and three strategic acquisitions, one of which was an all-cash transaction. These achievements not only validate the investment thesis but also demonstrate the firm’s capability to identify and nurture high-growth deeptech ventures.
The Empire Angel Collective continues to deploy new investments, with four in 2024 specifically in deeptech, which are being warehoused for integration into Snatched Ventures Alpha, LP (Fund II). This strategic warehousing allows for immediate action on promising opportunities while the main fund completes its fundraising, maintaining momentum and securing early access to top-tier deals.
The Evolving Venture Capital Landscape and Snatched Ventures’ Stance
Kevin Colas offers a pointed critique of the contemporary venture capital landscape, particularly the deviation from its historical roots. While California has long been the epicenter of venture investment, Colas argues that the industry has become overly focused on the sheer size of investment checks rather than the depth of innovation and hands-on support.
The period between 2019 and 2022, following a global pandemic, witnessed what Colas terms a "bubble" characterized by excessive valuations and a surge of capital into the venture asset class. This era saw marquee funds raise colossal sums, concentrating dry powder in the hands of a few large firms. However, Colas suggests that this scale has not consistently translated into superior performance, with many large funds potentially underperforming their smaller, more agile counterparts.
Colas champions a return to fundamental principles: deep due diligence, a fiduciary duty to invest public money responsibly, and an unwavering commitment to supporting portfolio companies. He stresses that investment managers should treat invested capital as their own, free from the "fear of missing out" (FOMO) that often drives hasty decisions and inflated valuations. The role of VCs, he asserts, is to provide ignition capital and support companies through their growth phases and challenges, guiding them towards profitability. Venture funding should not be a lifeline for survival but a catalyst for building self-sustaining businesses capable of flying "with their own wings," rather than continuously consuming large amounts of public and growth capital until an IPO or M&A exit. This perspective underscores Snatched Ventures’ commitment to fostering robust, financially viable enterprises.
NVCA Membership and Industry Influence
Snatched Ventures actively participates in the National Venture Capital Association (NVCA), recognizing its crucial role in shaping the industry. For Colas, NVCA membership offers multiple strategic benefits. It provides unparalleled networking opportunities with investor peers, facilitating deal syndication and co-leading opportunities, which are vital for spreading risk and leveraging collective expertise in deeptech investments. Furthermore, it enables enhanced portfolio support, access to potential exit opportunities, and collaborative thematic development.
Beyond direct business advantages, Colas is keen to engage in the NVCA’s activism and policy advisory groups. His objective is to contribute, albeit at a "humble scale," to influencing positive change and policy evolutions for the broader venture and deeptech ecosystems. This involvement is particularly important for deeptech, which often requires significant regulatory understanding, public-private partnerships, and supportive policy frameworks to flourish. Advocating for policies that foster innovation, protect intellectual property, and streamline commercialization pathways is essential for the long-term health of the deeptech sector.
Snatched Ventures’ Forward Vision
Looking ahead, Snatched Ventures is actively engaged in its fundraising efforts for the $100 million fund, with an initial close targeted at $30 million. The firm aims for a balanced composition of Limited Partners (LPs), including financial institutions, corporate entities, and strategic family offices. Colas is particularly enthusiastic about collaborating deeply with these LPs, offering them co-investing opportunities that align with their strategic interests and financial objectives.
The deployment strategy emphasizes proactive sourcing over reactive deal flow. Instead of relying solely on exchanges, conferences, or accelerators, Snatched Ventures conducts deep dives to identify promising early-stage companies at the nexus of its eight deep technologies and six thematic areas. This meticulous approach ensures that the firm identifies and invests in the most innovative and impactful ventures.
Ultimately, Snatched Ventures’ long-term vision extends beyond financial returns. Colas articulates a grander ambition: to build a lasting platform of thematic deeptech funds that fundamentally change how people live and how businesses leverage innovation to boost efficiency. The overarching goal is to accelerate the transition towards truly sustainable models for the planet and its inhabitants. Colas’s powerful concluding statement underscores this mission, reflecting a profound commitment to leveraging capital for positive societal impact: "For our kids, for us and to avoid having to one day flee on Mars with Mr. Musk because we ended up destroying this amazingly beautiful and well designed blue planet." This vision encapsulates Snatched Ventures’ dedication to fostering a future where technological advancement and environmental stewardship are inextricably linked.
