U.S. firm Sequoia Capital aims to raise $2.25 billion over funding winter: report


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.



(Only the title and image of this report may have been edited by Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)

Dear reader,

Business Standard has always endeavored to provide up-to-date information and commentary on developments that matter to you and that have wider political and economic implications for the country and the world. Your constant encouragement and feedback on how to improve our offering has only strengthened our resolve and commitment to these ideals. Even in these challenging times stemming from Covid-19, we remain committed to keeping you informed and updated with credible news, authoritative opinions and incisive commentary on relevant topical issues.
However, we have a request.

As we battle the economic impact of the pandemic, we need your support even more so that we can continue to bring you more great content. Our subscription model has received an encouraging response from many of you who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of bringing you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practice the journalism we are committed to.

Support quality journalism and subscribe to Business Standard.

digital editor


Comments are closed.