US investment firm Sequoia Capital reportedly raised $2.25 billion worth of new funding from potential venture capitalists during the funding winter.
The company is working on a new $1.5 billion U.S. growth fund focused on more mature companies, reports The Information.
The investment firm is also planning “a $750 million fund focused on early-stage transactions” and aims to close the new funds this month, according to the report, citing sources.
These funds are called “sub-funds”, launched after the company overhauled the structure of its US and European businesses.
The new funds come as Sequoia Capital recently told founders it expects a longer economic recovery.
“With the rising cost of capital (both debt and equity), the market is signaling a strong preference for companies that can generate cash today,” according to the venture capital firm.
Last month, Sequoia India and Southeast Asia raised $2.85 billion across a fundraising package, including a $2 billion seed, venture and growth fund for India and a $850 million fund for Southeast Asia, to help founders build companies from idea to IPO and beyond. .
“This fundraising, which comes at a time when markets are starting to cool off after a very long bull run, demonstrates our deep commitment to the region and the confidence our sponsors have in the long-term growth story. India and Southeast Asia,” the company said in a statement.
Last year, India became the third largest startup ecosystem in the world, after the United States and China. India currently has over 100 unicorns.
In 2021, Indian startups raised $42 billion across 1,583 deals, resulting in 42 unicorns.
Southeast Asia, meanwhile, is on track to become a $1 trillion digital economy by 2030.
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