Seedcamp Secures $320M to Fuel US Expansion and Growth-Stage Investments

In a significant move to expand its presence in the United States, Seedcamp, a prominent early-stage investor, has announced the closure of its latest fund, totaling $320 million. This substantial investment marks the firm's largest fund to date, doubling the $180 million raised for its previous fund in 2023. The new fund, dubbed Fund VII, will be split to accommodate both early-stage and growth-stage investments. Seedcamp VII will allocate $220 million towards early-stage investments, while a new fund, Select, will dedicate $100 million to growth-stage, follow-on investments.

With existing offices in New York City and Miami, Seedcamp plans to augment its US team to facilitate connections between its European portfolio companies and US-based customers and investors. According to Reshma Sohoni, Seedcamp's co-founder and managing partner, the firm's strategy remains focused on supporting upcoming startups from the outset, often investing in pre-product, pre-revenue, or pre-traction stages. Seedcamp's extensive network of portfolio startups and limited partners will continue to serve as a primary source of deal flow. The firm's investment thesis has yielded notable successes, including early investments in Fluidstack, Hopin, Pleo, Revolut, Synthesia, UiPath, and Wise.

With $1 billion in assets under management and 12 unicorns in its portfolio of over 550 companies, Seedcamp VII aims to invest approximately $1 million in 100 to 120 startups, with follow-on investments in later rounds. The growth fund will invest around $3 million to $5 million per check, focusing on Series B rounds and beyond. Limited partners in Fund VII include notable institutions such as British Business Bank, HarborVest, Schroders, and Sofina, as well as 80 portfolio company founders who have invested as angel investors. While Seedcamp will maintain its sector-agnostic approach, Sohoni emphasized the firm's preference for commercial-driven investments, avoiding capital-intensive businesses like mobility or marketplaces.

Source: TechCrunch