Industry Ventures Raises Oversubscribed $900 Million Early-Stage Hybrid Fund
July 02 2024 - 9:00AM
Business Wire
Industry Ventures, a leading investment firm focused on private
technology investments, announced today the final closing of
Industry Ventures Partnership Holdings VII, L.P. (“the
Fund”), the firm’s seventh hybrid fund investing in emerging
seed- and early-stage funds through primary and early secondary
Limited Partnership interests and direct investments. With $900
million of committed capital, the oversubscribed Fund brings the
firm’s total committed capital under management to more than $8
billion, with $2.3 billion dedicated to early-stage hybrid
funds.
Since 2007, the Partnership Holdings funds have provided patient
and long-term capital to emerging venture capital managers through
both primary Limited Partnership commitments and early secondary
Limited Partnership interests, combined with direct investments in
breakout growth-stage companies alongside their managers. Roland
Reynolds, Senior Managing Director at Industry Ventures, identified
the opportunity in the mid-2000s as he watched many of the more
established VC firms scale their fund sizes. “As the brand name
funds grew larger, we saw the opportunity to partner with emerging
managers who would fill the void of the larger funds moving
up-market. We believed the combination of their small fund sizes
and exclusive focus on the earliest stages of company formation
would allow for access to transformational technology companies at
the earliest stage of their life and potentially deliver outsized
returns. We believe the thesis has proven true, and we think the
opportunity for early-stage ventures is even stronger in the
decades ahead given the tailwinds for digital transformation and
surging use cases for generative AI.” When the firm originated the
strategy, there were less than 50 small emerging managers in the
space and today the ecosystem has since exploded with 1,000+
funds.
Since inception, Industry Ventures has made 725+ LP interest
investments, 290+ direct investments, and 140+ SPV investments. “We
believe this is one of the largest funds raised that focuses
exclusively on investing in emerging VC managers and also
represents one of the largest funds to buy early secondary Limited
Partnership interests in this specific market segment,” said Hans
Swildens, CEO and Founder of Industry Ventures. “Our portfolio
across Industry Ventures includes 300+ managers, which also
represents one of the largest portfolios of venture capital
managers in the world. The additional capital in this fund will
allow us to continue building on our strategy, as we continue to
make commitments to GP’s inaugural funds as we did for 11.2
Capital, Altos Ventures, Amplify Partners, IA Ventures, Lowercase
Capital, Pear Ventures, and dozens of others, as well as
co-investing into breakout power law private technology companies
like we did in Uber, Stripe, Datadog, Coupang and more.”
“We are immensely grateful for the support of our existing and
new investors and the ability to continue our deep collaboration
with our emerging managers and entrepreneurs,” said Jonathan
Roosevelt, Managing Director at Industry Ventures. “With a
seventeen-year track record, we have developed a consistent
approach to identifying the next wave of venture managers and
providing our investors access to some of what we believe are the
most exciting venture-backed companies. We believe the market
opportunity today represents a compelling time to be investing in
VC given the strong demand for technology as well as the recent
reset in valuations.”
The Fund’s investor base includes leading institutions
representing public and corporate pension funds, endowments,
foundations, financial institutions, and family offices, as well as
a sizable commitment from its general partner.
About Industry Ventures LLC:
Founded in 2000, Industry Ventures is a leading venture capital
platform with over $8 billion of committed capital under
management. Industry Ventures invests across all stages of the
venture capital and private technology lifecycle through
complementary fund strategies. The firm is headquartered in San
Francisco, with offices in Washington, DC, and London.
The portfolio companies identified and described herein do not
represent all of the portfolio companies purchased, sold or
recommended for funds advised by Industry Ventures. The reader
should not assume that an investment in the portfolio companies
identified was or will be profitable. Past performance is not
indicative of future results. For a list of all our portfolio
companies and for more information, please visit
https://www.industryventures.com/. Figures noted are as of
12/31/2023. This press release is not a solicitation of an offer to
purchase securities and may not be relied upon in connection with
the purchase or sale of any security. Interests in the Industry
Ventures funds, if offered, will only be made pursuant to a
confidential offering memorandum and subscription documents, which
include detailed descriptions of the risks associated with
investing in venture capital
Cautionary Language Regarding Forward-Looking Statements:
This press release contains forward-looking statements and such
statements may express an expectation of future events or results
or may otherwise be conditional. These statements may include
language such as “will”, “may”, “intend”, or similar language.
These forward-looking statements are only predictions, may not come
to pass, and involve known and unknown risks and uncertainties,
many of which are beyond Industry Ventures’ control. Such
statements and risks include, without limitation, risks related to
failure to maintain financial results, failure to execute on
acquisitions and business plans, including the intent never to sell
subsidiaries, and the ability or inability of Industry Ventures or
any of its subsidiaries to achieve its financial and performance
goals. Industry Ventures does not undertake to update any statement
herein to reflect changed circumstances.
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Geoff LeMieux Industry Ventures 781-223-8597
investorrelations@industryventures.com