North Karelia Growth Fund II is a regionally focused venture vehicle managed by Redstone, a Berlin-based multi-strategy European VC firm founded in 2014. Based in Joensuu, eastern Finland, the fund backs early-stage companies in the North Karelia region, building on Redstone's first North Karelia vehicle launched in 2020.
North Karelia Growth Fund II invests in pre-seed and seed-stage companies domiciled in or building a significant presence in the North Karelia region of eastern Finland. The fund's thesis spans three areas: semiconductors and photonics, defence and dual-use technology, and energy transition.
The fund plans to make 15 to 20 investments over roughly five years, with initial tickets of $110,000 to $325,000 per company.
Redstone launched North Karelia Growth Fund II at $10.8 million, announced August 31, 2026, building on the firm's first North Karelia vehicle from 2020, which made 17 investments in the region.
Investors include the City of Joensuu, Broman Group, the University of Eastern Finland, LähiTapiola Itä, North Karelia Cooperative Society (PKO), OP North Karelia, and Laakkonen Kapital.
North Karelia Growth Fund II is a regional strategy within Redstone, a multi-strategy European VC firm with roughly $700 million in AUM across 15 funds, including a separate Baltic-focused ocean-tech vehicle, Redstone Blue, under the same Nordics umbrella.
Leadership
Investment Strategy
The fund writes initial cheques of $110,000 to $325,000 into companies domiciled in or building significant operations in North Karelia, with follow-on capital reserved for its strongest performers.
The fund's predecessor, North Karelia Growth Fund I, was an early institutional investor in Kelluu, a Joensuu-based airship and aerial-imaging company that later raised a $16.2 million Series A led by the NATO Innovation Fund.
Notable Investments
helsinki@redstone.vc
Kaj Hagros — Managing Partner, Redstone Nordics
kaj.hagros@redstone.vc
Mikael Myllymäki — Portfolio Manager
mikael.myllymaki@redstone.vc
Finland
