Foundamental started investing in 2019 and has invested in 64 companies, which currently represents a $5.4bn aggregate valuation. The first fund portfolio is performing very well. 81% of the portfolio has achieved subsequent fundraises, which is in the top decile for the venture capital industry. The combined total of the funding raised by Foundamnetal portfolio companies was over $1.2bn in 3 years, which outperforms the firm’s closest sector-focused rival by double.

The portfolio includes one unicorn, InfraMarket -- a company which currently generates over $1Bn+ in revenue, after becoming the fastest company to reach Unicorn status in India.

Additionally, the first fund portfolio has achieved three exits, multiple follow-ons, Also, the portfolio includes seven companies with $100m+ in run-rate. Exits include Indus.ai, which was acquired by Procore; Holobuilder, which was acquired by Faro Technologies; and multiple impressive follow-ons from global generalist venture capital firms, in portfolio companies including, and not limited to: WizFreight, TuL, LocoNav, Speckle, Forge and SafeAI.

The firm has three General Partners each managing their respective regions: Patric Hellermann who covers Europe, Shub Bhattacharya covering APAC; and Adam Zober covering North America.

Foundamental’s Thesis

Foundamental’s core mission is to materially disrupt construction, which is a 12 trillion industry that has been neglected + under-innovated to date. Foundamental invests in early-stage start-ups - aims to be the first institutional investor in the companies in which it invests - and likes to be a partner to its portfolio companies offering guidance and support throughout their journey.

As Built-World investors, Foundamental focuses on all technologies that aim to help automate and augment the myriad of processes in the built environment, empower field workers and small businesses to be more productive and work more safely + all technologies that make construction cleaner and more sustainable.

Looking forward to the second fund, Foundamental will expand its global presence doubling down on its thesis and early success in emerging regions such as Latin America. Foundamental aims to replicate its successful investment thesis and strategy: leveraging global benchmarking and early-trend recognition; and investing in a historically neglected vertical, which touch all global citizens: housing, skilled labor, public and private infrastructure.

In addition to capital, Foundamental has strong construction industry DNA, and has regularly plugged its portfolio companies into its global network of construction companies and industry contacts. It also encourages and facilitates engagement with LPs which are multinational industry stakeholders within the built-world.

Adam Zobler, General Partner of Foundamental, says “Construction is the biggest, undisrupted market in the world. It’s a 12 trillion dollar market -- 10% of the world's GDP -- which employs one in fourteen workers globally. Yet the construction and built-world industry is massively inefficient, and it’s getting worse. In 2021, global productivity declined by 23% compared to 1990. The time to invest is now. Technology that fundamentally reshapes the world of construction and the built environment is needed now more than ever -- and it can drive great returns -- but is currently underserved and underfunded.”

Commenting on sustainability, Zobler continues, “There’s a huge sustainability incentive too. Construction is the best lever we can pull to reduce C02 levels. Since 1960, C02 emissions per capita have grown by 55%, driven by expanding consumption and a growing population. Construction is responsible for 17% of global emissions. Adjusting how we engineer, which materials we use, and how we organize supply chains could mean a 10x improvement. As ever, innovative startups are likely to be leading in this field.”