Andreessen Horowitz, a venture capital firm, has announced that it has raised $9 billion through three fundraising campaigns. This new round of fundraising is aimed at investing in startups across a variety of industries. This comes amid a worldwide fundraising boom in which huge investors are backing high-growth tech startups at an unprecedented rate.
According to a blog post published on Friday, the business secured $1.5 billion for a biotech-focused fund, $5 billion for a growth fund for scaling startups, and $2.5 billion for a venture fund.
Sharing more insights on the recent fundraising, the company’s co-founder Ben Horowitz wrote in his blog post, “ At Andreessen Horowitz, we specifically believe in the technology-enabled future. There are no more worthwhile endeavors than our most brilliant minds taking great risks to improve the world by doing something larger than themselves. As my partner Marc describes in Technology Saves the World, without great advances in technology, life on Earth certainly will not get better and may well get worse.”
Andreessen Horowitz has a number of companies in its portfolio. These firms include Coinbase Global Inc, Roblox Corp, Affirm Holdings Inc, and enterprise software provider Samsara Inc.
The venture capital giant did not name any of the new funds’ investors, although previous funds’ backers included Princeton University and Yale University.
Expansion in View
Andreessen Horowitz has been involved in a series of funding activities for several months. The VC firm recently launched two new funds, a $2.2 billion crypto-focused fund in June last year and a $400 million fund for seed investments in early-stage tech businesses – making it one of the largest fundraises from Silicon Valley venture funds in recent years. Andreessen Horowitz, often known as a16z, intends to use the funds to double the number of tech entrepreneurs in a variety of industries.
A growing interest in the crypto space
Sequoia Capital completed a fundraising effort in 2020 that raised roughly $7 billion, but its efforts have been trumped by the younger a16z. Andreessen Horowitz now has more than $28 billion in assets under management, thanks to the fresh funding.
Andreessen Horowitz is a young company, at 12 years old, compared to Sequoia, which is 50 years old, but it faces a slew of other new competitors who are keen on profiting from the crypto space. Most are profiting from the cryptocurrency craze, including Katie Haun, a former Andreessen Horowitz partner.
a16zis also interested in crypto
According to the corporation, some of the newly raised funds, particularly in the growth fund, could be employed in cryptocurrency.
In his release, Ben hinted at plans for the future. The company does not intend to back down on its development campaign. Instead, he wrote, “we will continue to invest across the entire spectrum of stages, writing checks as small as $25,000 and up to hundreds of millions of dollars.