Key Takeaways
- • MaC Venture Capital, a seed-stage firm based in Los Angeles and Silicon Valley, closed a $203 million Fund II, nearly doubling the $110 million seed-stage fund it secured in March 2021, according to a Business Wire announcement.
- • Fund II investors include repeat and new institutional backers such as Fairview Capital, George Kaiser Family Foundation, Goldman Sachs, ICG Advisors, Illumen Capital, the MacArthur Foundation, Stepstone, the Teachers' Retirement System of the State of Illinois, and the University of Michigan.
- • The firm reports $412 million in assets under management and over $99 million invested across its first two funds, with 30% of Fund I portfolio companies having raised Series A rounds.
- • Management plans to double its initial seed-stage check size and reserve roughly $100 million for follow-on support of its strongest portfolio companies.
- • The firm describes itself as majority Black-owned; 36% of portfolio companies are led by women founders and 69% have BIPOC founders, per the announcement.
Summary
MaC Venture Capital has raised a $203 million second fund, Fund II, according to a Business Wire announcement dated June 27, 2022. The raise follows the firm's $110 million seed-stage fund, closed in March 2021, and is positioned by the firm as validation of its investment thesis. MaC describes itself as a majority Black-owned seed-stage venture capital firm that invests in technology startups leveraging shifts in cultural trends and behaviors. The firm will use Fund II capital to expand its cultural investment framework, targeting companies that shape culture, increase access to resources for underserved communities, and meet consumer and industry needs.
The four founding general partners are Marlon Nichols, Adrian Fenty, Michael Palank and Charles D. King. Nichols co-founded Cross Culture Ventures, and Fenty, Palank and King co-founded M Ventures; the two firms merged in 2019 to form MaC Venture Capital. Partner Danny Brown has also been instrumental since inception, and new partners Haley Farnsworth and Zhenni Liu have joined the firm, bringing consulting experience across retail, healthcare and media.
Since the seed-stage fund's launch, MaC has invested in 50 companies, with top performers including Pipe, Edge Delta, Stoke, Zigazoo, Epsilon3 and Spartan Radar. The firm reports $412 million in assets under management and over $99 million invested across its first two funds, and says 30% of its Fund I portfolio companies have raised Series A rounds. Nichols said doubling the fund size will allow the firm to double its initial seed investment amount and reserve about $100 million to support its strongest portfolio companies.
Fund II investors include repeat backers from the first fund as well as new institutions, among them Fairview Capital, George Kaiser Family Foundation, Goldman Sachs, ICG Advisors, Illumen Capital, the MacArthur Foundation, Stepstone, the Teachers' Retirement System of the State of Illinois and the University of Michigan. Charles D. King said the return of first-fund investors reflects confidence in both the team and its portfolio companies.
The firm also highlighted diversity metrics, stating that 36% of portfolio companies are led by women founders and 69% have BIPOC founders, and that over half of its investment team is Black and a quarter are women. Palank argued that diverse leadership is both a values issue and a strategic investment advantage.
The four founding general partners are Marlon Nichols, Adrian Fenty, Michael Palank and Charles D. King. Nichols co-founded Cross Culture Ventures, and Fenty, Palank and King co-founded M Ventures; the two firms merged in 2019 to form MaC Venture Capital. Partner Danny Brown has also been instrumental since inception, and new partners Haley Farnsworth and Zhenni Liu have joined the firm, bringing consulting experience across retail, healthcare and media.
Since the seed-stage fund's launch, MaC has invested in 50 companies, with top performers including Pipe, Edge Delta, Stoke, Zigazoo, Epsilon3 and Spartan Radar. The firm reports $412 million in assets under management and over $99 million invested across its first two funds, and says 30% of its Fund I portfolio companies have raised Series A rounds. Nichols said doubling the fund size will allow the firm to double its initial seed investment amount and reserve about $100 million to support its strongest portfolio companies.
Fund II investors include repeat backers from the first fund as well as new institutions, among them Fairview Capital, George Kaiser Family Foundation, Goldman Sachs, ICG Advisors, Illumen Capital, the MacArthur Foundation, Stepstone, the Teachers' Retirement System of the State of Illinois and the University of Michigan. Charles D. King said the return of first-fund investors reflects confidence in both the team and its portfolio companies.
The firm also highlighted diversity metrics, stating that 36% of portfolio companies are led by women founders and 69% have BIPOC founders, and that over half of its investment team is Black and a quarter are women. Palank argued that diverse leadership is both a values issue and a strategic investment advantage.
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