Tapestry VC closes an $80 million third fund to back repeat European founders

London-based venture firm Tapestry VC has reportedly closed an $80 million third fund to back repeat founders in Europe, nearly triple the size of its previous fund. The firm has not published a first-party announcement; the terms come from outlet reporting on July 1, 2026.

The fund is said to be backed by returning investors Railpen and Molten Ventures, plus OpenAI Chief Financial Officer Sarah Friar personally, with new sovereign co-anchor the British Business Bank contributing $40 million – half the total. The state-backed anchor is notable: it signals UK public capital leaning into a fund aimed at keeping experienced founders building in Europe rather than decamping to the US.

The larger fund lets Tapestry write bigger checks. Fund III is expected to invest in roughly 30 companies at up to $3 million each, up from the $500,000 to $1 million range of the prior funds. Tapestry was co-founded in 2018 by Patrick Murphy and David Kelly; Murphy has relocated from San Francisco back to London, where the firm opened a new flagship office.

The story rests on outlet reporting rather than a Tapestry filing or press release, though three independent outlets report consistent figures. An $80 million fund is small by US standards but sits in the normal range for an early-stage European specialist, and the repeat-founder thesis – betting on people who have built before – is well-trodden. Whether Tapestry’s bigger checks and Friar’s involvement translate into breakout companies will not be clear for years.