Kernel Capital

Kernel Capital operates as a venture capital firm with full regulatory approval from both the Central Bank of Ireland and the UK Financial Conduct Authority. Established in 1999, the firm has raised €270M from diverse institutional investors across Ireland, the UK, and the US, with Bank of Ireland serving as both its strategic partner and largest investor. Additional co-investors include Enterprise Ireland, Invest Northern Ireland, New York State Common Retirement Fund/57 Stars, University of Limerick Foundation, Galway University Foundation, and several Irish Family Offices. With offices strategically positioned in Cork, Belfast, and Dublin, Kernel Capital has established itself as a prominent investor in the Irish technology ecosystem.

The firm specializes in identifying and supporting IP-rich companies innovating in high-potential technology sectors including Silicon Chip Design, Photonics, Micro-Fluidics, Sensors and Systems, and Data Management—all areas with significant artificial intelligence integration opportunities. This focused investment approach has enabled Kernel Capital to build a robust portfolio of over 80 companies collectively employing more than 1,200 professionals. The firm has demonstrated particular expertise in facilitating mid-market corporate transactions ranging from €25M to €125M across international markets including the United States, Europe, and Asia.

Kernel Capital's track record includes successfully leading 25+ trade sales, two initial public offerings (on ISEQ and AIM exchanges), and multiple management buyouts. The firm has orchestrated over 250 fundraising rounds for its portfolio of Irish technology companies, collectively securing more than €1.5 billion in capital. This impressive performance has translated into superior financial returns, with multiple funds achieving IRRs exceeding 20% gross—fully realized, "all cash" and KPMG audited—creating substantial wealth for both portfolio entrepreneurs and investors alike. The firm attributes its success to its hands-on engagement approach, meticulous attention to detail, and extensive global network.

In 2023, Kernel Capital expanded its service offering by establishing Kernel Strategic, a specialized boutique M&A advisory business. This division focuses exclusively on maximizing the realization value of companies with deep intellectual property assets. Kernel Strategic operates with a distinctive model where executives invest their own capital on equal terms (pari passu) with existing investors at the time of engagement. The division further differentiates itself through a "no foal, no fee" compensation structure, eliminating retainer or expense fees while targeting realization events within an 18-month timeframe. This approach demonstrates the firm's confidence in its ability to create meaningful exits and value for its portfolio companies.