The European Investment Fund European Investment Fund has announced a €25 million anchor investment into Yield Lab Europe Fund 2, a new €100 million agrifood-focused venture capital fund aimed at accelerating innovation in sustainable agriculture across Ireland and Europe.
The commitment, backed by the InvestEU programme, is designed to address structural challenges in the agrifood sector, including underinvestment in early-stage startups, limited access to agricultural technology, and the funding gap for climate-focused innovation in food systems. The fund targets Seed and Series A stage companies developing technologies in areas such as precision agriculture, alternative proteins, crop health, aquaculture, and the circular economy.
A significant portion of the fund, around 30%, will be deployed in Ireland, reinforcing the country’s position as a leading hub for agrifood innovation. The remaining capital will be invested across Europe, supporting startups working on scalable solutions for food production, sustainability, and climate resilience.
The investment strategy is focused on bridging the gap between agricultural innovation and real-world adoption, particularly for technologies that improve productivity while reducing environmental impact. The fund is structured as an Article 9 SFDR vehicle, meaning it has a strong sustainability mandate, with a high proportion of capital dedicated to climate and environmental objectives.
This initiative builds on Yield Lab Europe’s previous fund, which invested in early-stage agrifood companies across multiple countries and demonstrated both financial returns and measurable environmental outcomes. The new fund aims to expand that impact while attracting additional private capital into a sector often underserved by traditional venture funding.
Overall, the EIF’s commitment highlights a broader European effort to strengthen food security, support climate transition goals, and scale agritech innovation through targeted early-stage investment.
