Bessemer officially closes $1.6 billion fund

Ronny Kerr · April 1, 2011 · Short URL: https://vator.tv/n/18c9

Along with new $1.3 billion IDG-Accel fund for China, startups around the world are covered

The rumors were true.

Century-old venture capital firm Bessemer Venture Partners has closed a $1.6 billion fund, its largest to date, the group told DealBook on Thursday.

Reports first bubbled to the surface in early March that Bessemer was closing in on a new tech startup fund sized between $1.2 and $1.5 billion, but it looks like the actual number is just a tad larger than those estimates. The firm had little trouble raising money for the heavily oversubscribed fund, which attracted $2.5 billion in intended commitments, according to anonymous sources.

As we noted last time, Bessemer’s last round was first completed in 2007 and later expanded in 2009, totaling $1.35 billion in the end.

In general, Bessemer prefers to invest in early-stage startups. Additionally, a quarter of the latest fund is slated for investments in India-based tech companies.

To get an idea of the kinds of startups Bessemer likes to fund, here are three of the firm’s latest additions to its portfolio:

  • Online video advertising company Adap.tv closed $20 million in Series C financing led by Bessemer, with participation from existing investors Gemini Israel Funds, Redpoint Ventures and Spark Capital.
  • Productivity app management company Apperian closed a $9.5 million round of funding led by Bessemer along with some big names in the industry, including North Bridge Venture Partners, Kleiner Perkins Caufield & Byers, CommonAngels, and LaunchCapital.
  • Free flash website builder Wix raised $40 million in Series D funding led by Insight Venture Partners and DAG ventures, with participation from Benchmark Capital, Mangrove Capital Partners and, of course, Bessemer.

All three of these relatively large funding rounds just occurred in the last few days.

Meanwhile, IDG-Accel, a joint venture capital fund between International Data Group (IDG) and Accel Partners focused on investments in China, announced that it has closed two new China funds totaling $1.3 billion.

Startup bubble or boom? Looks like it’s going to be a hot topic for awhile.

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Ronny Kerr

I am a professional writer with a decade of experience in the technology industry. At VatorNews, I cover the zero-waste economy, venture capital, and cannabis. I'm also available for freelance hire.

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Bessemer Venture Partners

Angel group/VC

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In 1911, Henry Phipps founded Bessemer Securities to reinvest the proceeds of his sale of Carnegie Steel for the benefit of his descendents. The start-up investment operations were spun out into Bessemer Venture Partners, which now operates out of seven offices around the globe.

Adap.tv

Startup/Business

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Adap.tv: Leadership and Innovation for the New World of Online Video Advertising

Adap.tv helps publishers capitalize on the soaring popularity of online video among viewers and advertisers. Our flagship offering, Adap.tv OneSource, provides a single point of control to serve and manage ads from in-house and third party sources, in all major video formats, using your existing display ad server. OneSource streamlines ad operations, supporting efficient scalability for any online video business, from startups to major media companies.

As the first open and universal video ad sourcing and management platform, the powerful yet simple to use OneSource system has already gained broad industry support. More than 300 publishers in 71 countries use OneSource to monetize hundreds of millions of video streams each month. Whether an already established leader in video publishing—or a publisher determined to become one—Adap.tv provides the tools they need to achieve their online video goals.

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