Cintrifuse’s fund of funds is investing in two funds which the firm believes have the ability for early stage venture leadership in Cincinnati.
The two funds are Allos Ventures Fund II with offices in Cincinnati and Indianapolis and Sigma Prime Ventures Fund IX based in Boston.
"Cintrifuse’s aim is to increase access to early stage capital for high-potential startups. Early stage companies are glistening diamonds in the rough but are currently underserved in the funding arena, as venture capital flows more readily to budding startups or buy-out ready firms," says Jeff Weedman (pictured), chief executive of Cintrifuse, a Cincinnati not-for-profit.
"We want early stage venture capital firms that are solely focused on investing in companies with great potential. Both firms, with current funds totalling USD160m between them, believe we have companies with that potential in this region. Our expectation is that while these firms are not required to invest here, based on their commitment to engage in the region they will find those future great companies. These first two funds demonstrate our commitment to the region and our ability to attract quality venture firms from across the nation," says Tim Schigel, manager of Cintrifuse Fund of Funds.
Funds are selected based on their proven financial performance, alignment with the region’s industry and demonstrated desire to actively engage in the region’s innovation ecosystem. This may include, but is not limited to, mentoring, serving on an advisory board (of a startup or strategic corporation) or maintaining a local office or presence in the region. The funds will also have access to Cincinnati’s depth of business and innovation leadership, including global industry leaders, subject experts and research institutions.
Allos II is managed by Allos Ventures, which has offices in Cincinnati and Indianapolis. Allos targets investments in early-stage software and technology-enabled business services companies but will also consider select medical device/diagnostics and advanced manufacturing opportunities.
"Allos Ventures is pleased to be joining forces with Cintrifuse in addressing the severe shortage of early-stage venture capital in the greater Cincinnati region. We look forward to working with Cintrifuse’s team and impressive group of partner companies as we help our companies and others navigate the often challenging road to success," says Allos managing director John McIlwraith.
The Cintrifuse Fund of Fund’s second investment is in Sigma Prime IX Fund, managed by Sigma Prime Ventures. Focused on technology startups, the Sigma Prime team brings strong operational and management expertise to portfolio companies.
"At Sigma Prime, we are very excited about the opportunities, entrepreneurs, large lighthouse customers and ecosystem coming together in the Cincinnati region. We think there will be some opportunities to help and build some hugely promising startups in the region and we hope to be an important part of this activity. Whether by being a mentor in the Brandery ecosystem, by being an advisor to Cintrifuse and significant startup efforts in the community, and/or hopefully being a key investor in change-the-world kind of startup companies in the region, we hope to engage and make a difference," says John Simon, a managing director at Sigma Prime Ventures.
