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Industry Ventures Raises Oversubscribed $900 Million Early-Stage Hybrid Fund

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SAN FRANCISCO, July 2, 2024-- 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 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.

Geoff LeMieux
Industry Ventures

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