Revolution announces whopping new venture fund: $525 million

Downtown D.C.-based Revolution, the venture capital firm cofounded by Steve Case, announced on Tuesday that it has secured a new investment fund of $525 million. This is the firm’s third Revolution Growth fund, and its total exceeds the target initially set at $450 million.

BREAKING: Revolution Growth Raises $525M To Keep Backing Startups Far From Silicon Valley @forbes @alexrkonrad https://t.co/1i2wSoZr1Q

— Revolution (@revolution) June 14, 2016

The fund will be led by Case, Ted Leonsis and Donn Davis and according to a press release it will “invest ‘speed-up’ capital in businesses outside of Silicon Valley that are leveraging technology and new models to disrupt existing, multi-billion dollar industries.”
Revolution Growth III will also be similar to its predecessor Revolution Growth II ($450 million launched in 2011) in that the fund plans to make just three or four investments per year, each around $25-50 million. According to a press release, this selective approach allows the fund to take an active role in helping the companies they back.
“Our approach is not about a lot of companies or a portfolio theory,” Davis said in a statement. “It is about taking a handful of companies and doing whatever we can to help make them iconic.”
Revolution has previously invested in D.C.-area companies like Optoro, sweetgreen and CustomInk.