- Madrona Venture Group has launched a new $300 million oversubscribed investment fund called Fund VII
- Venture capital firm will continue to deploy capital and lead/participate in seed and Series A funding rounds
Madrona Venture Group has set up a new, oversubscribed $300 million investment fund called Fund VII. And Madrona plans to partner with the most promising tech entrepreneurs and their day one teams for the long term.
The venture capital firm focuses primarily on big founders based in the Pacific Northwest, which is known to be home to two of the world’s four biggest tech companies, Microsoft and Amazon.
Madrona has had a solid few years as four of its portfolio companies have gone public: Smartsheet, Redfin, Apptio, and Impinj. The average time from initial investment to IPO for these companies was 12 years and Madrona was there from day one.
“Entrepreneurs in our region continue to build exceptional businesses at the forefront of major changes in customer base, technology and business model. We believe that cloud computing, intelligent applications powered by AI/ML, multi-sense user interfaces and solutions that combine the digital and physical worlds will drive the next decade of innovation,” said Matt McIlwain, CEO of Madrona Venture Group. “On behalf of the entire Madrona team, we are proud to have the trust of our many outstanding sponsors and founders.”
Fund VII is Madrona’s seventh fund in the past 23 years and brings total funds under management to nearly $1.6 billion. This oversubscribed fund is backed by a diverse set of regular and long-term investors, including some of the nation’s leading endowments, foundations, family offices, outsourced chief investment offices (OCIOs), and entrepreneurs. .
“Madrona has understood the vision of Smartsheet and the value of our innovation from our earliest days, even when others have not,” added Mark Mader, longtime CEO of Smartsheet Inc. years since, our partnership has generated significant growth, supported by Madrona’s valuable guidance on market trends, buyer needs, financing, executive talent and the ability to collaborate with other growth investors . As I reflect on the early decisions that made a positive difference to Smartsheet’s business, our decision to partner with Madrona is one that paid off in the short, medium, and long term.
With this fund, Madrona will deploy capital to lead and participate in seed and Series A investment rounds. Additionally, the entire Madrona team will continue to roll up their sleeves to help portfolio companies recruit talents and make strategic business decisions.
Madrona is known for creating Seattle’s first startup studio called Madrona Venture Labs five years ago. And Madrona started and supported Seattle TechStars. Additionally, they have partnered with the University of Washington Allen School of Computer Science and have worked closely with the angel investor community.
Later this year, Madrona will open Floor 33 – which is a Seattle-based innovation community co-located with Madrona to house an expanded Madrona Venture Labs and 22,000 square foot coworking space for founders and their teams. .
Some of the current and new portfolio companies will benefit from an expanded group of managing directors, venture capital partners and investment professionals. New hires include S. Somasegar (CEO), Ted Kummert (Venture Partner), Hope Cochran (Venture Partner) and Luis Ceze (Venture Partner), Betsy Sutter (Strategic Director), Maria Karaivanova (Investment Professional), Sudip Chakrabarti (Investment Professional), Chris Picardo (Investment Professional), Shannon Anderson (Director of Talent) and Alice Ryder (Director of Business Development and Investor Relations investors).