Industry Ventures announced the close of their Secondary X Fund with over $1.45 billion in commitments and the close of Tech Buyout II Fund with over $260 million in commitments.
Industry Ventures’ Secondary X Fund is a secondaries vehicle that focuses on leading later-stage venture-capital companies, while Tech Buyout II is a hybrid fund that focuses on small software company buyouts and emerging software buyout funds. Greenstone Equity Partners, the leading fund placement firm in the Middle East, supported Industry Ventures in achieving these fund closes by raising capital from Greenstone’s network of GCC-based institutional investors. The closes of Secondary X and Tech Buyout II come during a time of burgeoning market demand for investor liquidity. The two funds bring Industry Ventures’s total committed capital under management to over $7 billion.
Secondary X seeks exposure to later-stage, fully financed, venture capital-backed companies through direct secondaries, secondary LP investments, continuation funds, and other special situations, with a sector focus on Enterprise SaaS, Fintech, Digital Healthcare, Marketplaces, EdTech, eCommerce, and Cybersecurity. Secondary X is one of the largest dedicated venture secondary funds ever raised and is Industry Venture’s largest fund raised to date.
Tech Buyout II invests directly and indirectly in private equity buyouts of venture-backed software companies and special situations. It also invests a minority of its capital in leading small-cap technology buyout managers through both primary and secondary LP commitments.
Industry Ventures has completed over 600 secondary investments in its 20-year history. The largest exits to date for the secondary strategy result from investments in Uber, Alibaba, ZipRecruiter, NuBank, Lifelock, Marqeta, Roblox, Trustwave, Twitter, and Upwork.[1]
“We are thrilled to achieve the final close of our funds Secondary X and Tech Buyout II ,” said Hans Swildens, Founder and Chief Executive Officer of Industry Ventures. “This successful fund close showcases the strong interest and support from our investors, and we are excited about the opportunities it will create to support innovative companies in the North American market.”
“Partnering with Industry Ventures on the Secondary X and the Tech Buyout II funds has been a gratifying experience,” commented Omar Al-Gharabally, Chief Investment Officer of Greenstone Equity Partners. “Our collaboration has enabled us to leverage Greenstone’s extensive network of GCC-based institutional investors, who recognize the potential and value of the North American venture capital market. We look forward to continuing this fruitful partnership in the future.”
[1] Realised investments are those where >50% of a deal’s cost basis has been realised.
