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Verus Digital

Pre-Seed
Co-Investors: 1
Darmstadt, GER
DeepTech
Closing: December 2024

Summary:

  • Innovative Technology: Verus Digital’s autonomous 3D scanning system, developed with Fraunhofer, automates high-quality digitization for sectors like museums and forensics, cutting labor costs by up to 80%.
  • Scalable Model: Combining system sales, subscriptions, and Scanning-as-a-Service, Verus Digital projects revenue growth from €44,152 in 2023 to €800,000 in 2024 and a positive planned EBIT of 50-100,000 €. The TAM amounts to EUR 4,3bn €.
  • Expanding Markets: As a first mover, Verus Digital is expanding into private collections, fine art, Web 3.0, and e-commerce, serving clients like EPFL Lausanne and Hessen State Police.

Problem

Accurate 3D scans, capturing both geometry and color, are essential across various industries, especially for museums, the art industry and forensics. However, the process is currently still highly manual, as an expert has to inspect the object in question and take manual measurements. This data is then converted into a corresponding model by IT technicians and 3D artists.

This manual effort is extremely cost-intensive and error-prone, which is why digital solutions and automation are urgently needed and are also high priced on the market.

Solution

Verus Digital has developed the world’s first fully autonomous 3D system that is already inspiring customers from a wide range of industries: the integrated all-in-one solution based on hardware and AI enables high-resolution results and reduces labour costs by up to 80%. With Verus Digital’s solution, cultural artefacts and forensic evidence can be quickly captured, analysed and documented for eternity. The technology behind Verus Digital has been developed over the last 6 years as a research project of the Fraunhofer Institute and the team has been spinning out this technology as an independent company for 2 years and has confirmed the proof of market.

 

USP (Unique Selling Proposition)

  1. Fully autonomous solution
    • The world’s first autonomous 3D digitisation
    • Adaptive planning for any objects
  2. Easy to use system
    • No specialised knowledge required, can be operated by one person
    • Streamlined setup and operation for efficient, independent workflows
  3. High quality:
    • Highest quality on the market worldwide thanks to intelligent ‘capturing’ and high quality sensors and robotics
    • Consistent results following ISO standard 19264
  4. Two years technological lead:
    • Successfully tested in 4 major pilot projects with over 1000 objects scanned
    • Demonstrated reliability and precision through extensive, real-world testing
    • Fraunhofer network incl. strong technology competences

Business model

The business model combines high-margin system sales with recurring subscriptions and repeat customers. The core product is a 3D scanning system sold directly to organizations like museums, libraries, and forensic institutions. Each system sale includes an annual subscription for ongoing software updates, maintenance, and advanced features, with optional add-on modules available to expand functionality. This model fosters long-term customer relationships. In addition, Verus Digital offers high-quality Scanning-as-a-Service (SCaaS), aiming to establish framework contracts where clients allocate budgets for regular yearly projects. This approach builds a strong base of repeat customers and stable recurring revenue, enabling efficient scaling and increased profitability.

Market

TAM: €4.3bn

SAM: €1.2bn

SOM: €50m

Key Markets:

  1. Cultural Heritage Institutions:
    • Museums
    • Libaries
    • Archives
  2. Forensic Science:
    • BKA
    • LKA
    • Police Evidence Room

Market Expansion Areas:

  • Private Collections
  • Auction Houses
  • Fine Art
  • Web 3.0
  • Entertainment
  • E-Commerce

Market Use

Digital Transformation: Increasing need for accurate 3D models in our key markets – museums and forensics

Strong Growth Outlook: Significant 3D scanning market growth projected over the next six years, driven by industry demand

Digital Twin Potential: Rising interest in 3D printing with the potential to create the first 1-to-1 color copying solution

Virtual & Entertainment Applications: High demand for realistic 3D models to power virtual worlds, such as the metaverse, and other immersive experiences.

Traction

  • 4 pilot projects
  • 10+ CultArm3D systems built
  • 1000+ 3D-scanned objects
  • Expected turnover 2024: €800,000

 

Exit Potential

3D Systems has acquired a total of six companies in recent years, including dp polar GmbH, Kumovis GmbH, Additive Works, Allevi Inc, Volumetric Biotechnologies and Titan Robotics.

Stratasys has also made acquisitions and has taken over four companies in recent years: Origin, RPS, Xaar 3D and Covestro Additive Manufacturing Materials. However, no valuation figures were published for these acquisitions.

An example of an acquisition in the 3D sector with a multiple of 11x, an industry-standard range of 3-12x, is Protolabs‘ acquisition of 3D Hubs in 2021. The acquisition value was USD 280 million, with 3D Hubs’ annual revenue in 2020 being around USD 25 million – corresponding to a revenue multiple of around 11.2x.

There was also the acquisition of Link3D by Materialise for USD 33 million, albeit without information on the multiplier.

The Team

This document is non-binding preliminary information that provides an initial impression of the financing options offered. Neither this document nor the statements made by us in this context can be a sufficient basis for a financing decision. Investors should examine the possible investments themselves. Responsibility based on own analysis. This document does not constitute a sales prospectus, a public offer of an investment, an invitation to submit an offer, investment advice or investment brokerage. In providing this information, we make no representations, warranties or other contractual or quasi-contractual obligations, including with respect to the completeness, content or accuracy of the information reproduced in this document. This document is to be treated confidentially and may not be reproduced in whole or in part, passed on to third parties or published.

Your opinion matters to us:

Your Dealcaptain

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Julian Pfeifer

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Disclaimer

The scenarios determined by the investment calculator are based on empirical values and assumptions. They are intended solely to illustrate possible developments and are no guarantee of future results. The actual performance of an investment may deviate significantly from the results forecast in the scenarios presented due to a wide range of macroeconomic and microeconomic factors. Start-up investments involve a high level of risk, which can extend to the total loss of the investment. It is expressly pointed out that neither Gateway Ventures nor its partners or representatives can be held liable for decisions made on the basis of the results of this calculator. Use of the calculator is at your own risk. You should seek independent financial advice and conduct your own research before making any investment decision.

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