Funding Alert

Andreessen Horowitz raises $9B in new capital for venture, growth, bio funds

• BySaksham Daga     |    January 8, 2022

Andreessen Horowitz, a major private market company, announced this morning  that it has raised $ 94 billion in, well known by its nickname a16z, and last year it also raised a $ 2.2 billion crypto-focused fund. .. 

 Fundraiser of these companies emphasizes the growing size of investment vehicles in the private market, which tends to group under the banner of venture capital, and the fast-growing capital base of a16z itself. 

 Looking back, it includes Group-The 7th Venture Fund raising $ 1.3 billion, the 2nd Growth Fund $ 3.2 billion and the 3rd Biofocus Fund raising $ 750 million. Therefore, the a16z  not only reloads, but seems to raise more capital than ever for its normal focus. Not surprisingly, the Group is raising more investment funding. His first crypto fund was worth $ 300 million, the second was $ 515 million, and the youngest was about four times as valuable. As an investment group, a16z, like many individual investors, spends more capital each time it harvests new funds. It is widely believed that the trend towards larger funds than contributes to larger rounds of funding at startups and  pressure on access to transactions (more difficult) and startup valuations (higher). .. 

 Recall that Norwest Venture Partners closed a $ 3 billion fund last month to highlight the size of today’s ventures and venture funds. This brought the group’s total capital to $ 12.5 billion, raised “over decades,” as our own Connie Loizos stated. Most of the company’s historical capital was raised only in the previous quarter. 

 There is an arms race in the private market as tech companies’ enthusiasm for  both traditional (software, etc.) and frontiers (ciphers, quantum computers, metaverse, etc.) remains brand new. The fact that the public market has moved in slightly different directions over the past few weeks does not seem to have delayed the venture capitalist side of funding medals. At least not yet.

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