Spur Capital Partners, an investor in venture capital funds, plans to raise $200 million for its seventh core fund. SSo far, it has secured nearly $74 million in bets on early-stage VCs, according to a securities filing.
Who or what exactly does Spur rely on? Over the years, the investor claims it has indirectly backed dozens of high-flying early-stage tech and life science companies, including hostelier Airbnb and gunmaker Anduril. But Spur didn’t respond when asked about the names of the VC firms in his portfolio.
Spur has been raising money for the fund for more than a year and is already investing from it, the Bartlesville, Oklahoma-based company told TechCrunch. So far, according to the filing, at least 40 unnamed investors have invested in the seventh fund. According to Spur, his limited partners include pension plans and family offices in the US and Europe.
Spur has been around for about two decades, but at $200 million, the company’s seventh fund would be one of its largest ever. According to PitchBook, the investor manages more than $1.2 billion in assets.
Betting on VCs in a downturn
The economy stinks and technology knows it. Reactionary startups are laying off employees, and even giants like Google are sending out fewer offers and squeezing what they can from their existing workforce. The way things are going, you might expect venture capital to feel the heat, and to this point venture capitalists are in some — but not all — cases going rogue. But that’s not because they’re out of money.
In reality, US VCs have more cash left over than ever before, but rising interest rates, Russia’s invasion of Ukraine, and other factors have reignited the desire for profitability, at least at later stages.
On the other hand, the trend is driving more funds of funds backing early-stage venture firms. Even in uncertain times, investors don’t want to miss out on anything the The next big thing could be.
https://techcrunch.com/2022/08/02/spur-fund-of-funds-targets-200m-early-stage-vc-downturn/ Spur, a fund of funds, targets $200M to bet on early-stage VC in a downturn – TechCrunch