PE Tech Report


Like this article?

Sign up to our free newsletter

IVP to launch USD1bn fund

Institutional Venture Partners (IVP), a later-stage venture capital and growth equity firm, is to launch IVP XIV, a USD1 billion fund. 

This is the largest fund raised in the firm’s 32-year history and brings the cumulative committed capital to $4 billion. The fund was significantly oversubscribed with IVP’s existing Limited Partners taking the vast majority of the fund.

The firm’s General Partners are Todd Chaffee, Norm Fogelsong, Steve Harrick, Jules Maltz, Sandy Miller, and Dennis Phelps (pictured).  Collectively, they have more than 100 years of venture capital and operating experience. 
“Over the past decade, IVP has delivered exceptional performance,” says limited partner Brian Murphy of Portfolio Advisors. “Our clients appreciate their focus and expertise in later-stage technology investing and the remarkable group of portfolio companies that they have assembled.”
IVP partners with entrepreneurs to finance rapidly growing media and technology businesses that are addressing large market opportunities. With IVP XIV, the firm will continue to invest in its three target sectors:  Internet and Digital Media, Enterprise IT, and Mobile & Communications.
“I have invested with the IVP team for over a decade now and continue to be impressed with how the team maintains their marketplace leadership position,” says limited partner Rick Hayes of Oak Hill Investment Management. “The IVP team is unique and special – a multi-generational, deep, experienced team of experts.  They have proven to be an excellent partner-of-choice for exceptional, high-growth companies.”
Since its inception in 1980, IVP has invested in over 300 companies, 90 of which have gone public.  IVP’s investments include well known companies such as ArcSight, Buddy Media, ComScore, Dropbox, HomeAway, Kayak, LegalZoom, LifeLock, LivingSocial, Marketo, MySQL, Netflix, Shazam, Twitter, and Zynga.
“IVP provided us with guidance and support when we needed it most at MySQL,” says Marten Mickos, CEO of Eucalyptus Systems. “When it came time to select a lead investor for the expansion stage round at Eucalyptus, I went to them first. They are an invaluable asset to young companies with ambitious aspirations, and we are fortunate to be working with them once again.”
With the new fund, IVP plans to invest USD10 million to USD100 million in just 10 to 12 companies a year. The firm believes that this highly selective approach is an essential driver of fund performance. Given its expertise in later-stage investing, IVP is strategically positioned to help entrepreneurs scale operations rapidly, review business strategies, and recruit exceptional executives.
“Entrepreneurs are looking for an investor who shares their vision, communicates clearly, and has the resources to level the playing field,” says Mike Lazerow, CEO of Buddy Media. “IVP brings enthusiasm, professionalism, and reliability to the boardroom, and they helped us to make the extraordinary possible.  I hope to have the opportunity to work with them again.”

Like this article? Sign up to our free newsletter