Russian metal giant to back technology start-ups

Severstal, one of Russia’s largest mining and metalworking companies, has launched its own venture investing arm, Severstal Ventures, to support and develop young technology projects. 

“It is expected that to nurture technology projects with high potential we will be both investing in sector-specific VC funds and working with the projects directly,” the Russian business daily Vedomosti quoted a spokesperson for Severstal as saying.

The new entity is reportedly planning to start by shelling out $20-25m a year for investments in projects.

One of Severstal’s subsidiaries, Melsonda Holdings, Ltd., has already been reported investing in Pangaea Ventures Fund IV, LP, a fund that is focused on innovation in the field of modern materials.