Bain Capital Ventures (BCV), the venture capital arm of this private equity giant Bain Capital, has earned $1 billion to invest in startups throughout sectors and phases.
The funds was distributed over three funds: $650 million to get its flagship automobile, $250 million to get a co-investment fund centered on growth-stage investments along with an extra $100 million straight from the spouses at Bain Capital, which is deployed on each investment from the most recent fund.
Launched in 2001, BCV is popularly known for its investments in LinkedIn, Rent the Runway, SurveyMonkey, SendGrid and DocuSign. At first, the company was a growth-stage investor, even although it’s heated to early-stage businesses, building a total of 106 early-stage investments, 52 of which were in the seed phase, because 2013. The company states that is triple its whole quantity of seed and Series A investments from prior decades, as a result of the members of its own West Coast investment group, that are liable for striking the vast majority of BCV’s early-stage stakes.
The company opened its first division at San Francisco in 2016. BCV also has offices in New York, Boston and Palo Alto.
BCV’s seventh flagship fund closed on $600 million in 2016; its most recent core automobile is much bigger. Ajay Agarwal, among BCV’s eight handling directors since 2003, said that is due to the bull market and shortage of liquidity in venture capital, that has generated many VC funds to raise larger and larger pools of funding. Only consider Thrive Capital or GGV Capital, as an instance, VC funds which have surpassed $1 billion together with current fund closes.
“We, like most of our coworkers, have a lot more need for our capital than we possess the potential for,” Agarwal informed TechCrunch. “Businesses are taking more time to go public and so need more funds, but we do not need to have the fund size to get too big.”
“It’s surely an environment where a lot and a lot of funds is coming to the marketplace… It places much more of a focus on companies which have a genuine competitive distinction — something special to offer entrepreneurs”
BCV invests in 12 to 14 businesses each year, not including its own seed-stage portfolio businesses. Recent investments comprise Ribbon, a property technology startup that earned $225 million in October; Basis, a cryptocurrency startup which increased $133 million in April; and messaging startup Attentive, that closed just a $13 million around in February.
Together with the 3 extra capital, BCV has $4.9 billion in funds under management.