Lightspeed Limited Partners lean into new funds, bringing total committed capital under management to over $18B
Lightspeed Venture Partners announced the closing of Lightspeed Venture Partners XIV-A/B, L.P. (“Fund XIV”) with $1.98 billion, Lightspeed Venture Partners Select V, L.P. (“Select Fund V”) with $2.26 billion, and Lightspeed Opportunity Fund II, L.P. (“Opportunity Fund II”) with $2.36 billion of committed capital. Separately, Lightspeed India Partners today announced the closing of a $500M early stage fund (“LSIP Fund IV”). Also, today marks the unveiling of Lightspeed Faction, an independent team dedicated to building on Lightspeed’s nine year history of backing exceptional founders in blockchain infrastructure.
Lightspeed’s global and multi-stage strategy supports exceptional entrepreneurs across sectors, in any geography, and at any point in their entrepreneurial journey across twelve global offices and in six countries. Since Lightspeed’s founding, the firm has partnered with more than 500 Enterprise, Consumer, Health and Fintech founders and their companies. Roughly a fourth of those companies have either been acquired or gone public, with 33 IPOs over the years.
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Today’s funding, approximately 60% more than Lightspeed’s last flagship fundraise, focuses on expanding the firm’s early stage vehicles and supporting its large and growing global platform.
Lightspeed Venture Partners XIV-A/B, L.P.
Lightspeed Venture Partners XIV-A/B, L.P. ($1.98B), is designed to support founders in their earliest stages of company development in the firm’s long-standing Enterprise, Consumer, Health and Fintech practices. Investing at the earliest stages of innovation, from incubation to Seed to Series B, drives the way Lightspeed fundamentally works with and supports companies at all stages.
Lightspeed has been known as a pioneer in early-stage Enterprise investing for the past 20+ years and today continues to have one of the largest teams in Enterprise, investing at the forefront of infrastructure, cloud, security, AI, SaaS and the future of work. While the firm built its early reputation on its Enterprise practice, it is building its legacy on extending that success to its burgeoning Consumer, Healthcare and Fintech practices. Lightspeed believes that exceptional consumer companies will continue to emerge from increasingly diverse geographies and diverse founders. With Europe becoming one of the most exciting startup markets in the world, the team welcomed Paul Murphy in 2021 to help lead Lightspeed’s European office in the UK as a Partner. Over 30% of Lightspeed’s consumer investments are in female-founded companies and 2021 was its most geographically diverse in its history. With over $1.2 billion in distributions, Lightspeed’s Healthcare practice has been focused on improving patient lives over the last ten years, initially recognizing the value of health data with the dawn of the genomic era by investing in diagnostic and cutting-edge platform technologies, quickly followed by an expansion into biotherapeutics. Today, almost every business is now a fintech business, which is why Lightspeed has invested over $1.5B in close to 100 global Fintech companies including $600M specifically in blockchain and emerging use cases. Stripe and Yelp veteran Justin Overdorff joined as a Partner in 2021 to help lead Lightspeed’s Fintech practice and plant the Lightspeed flag in New York City, where he is based.
“We believe in investing at the earliest stages of innovation, partnering with generational entrepreneurs who have clarity of vision, an insatiable desire to build something enduring, and the conviction and courage to compete and win against all odds,” said Arif Janmohamed, Partner, Lightspeed. “We love to partner with and even incubate companies around core dislocations in the enterprise landscape and to build relationships with prospective entrepreneurs years before they are ready to start building.”
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“We pride ourselves on being the first institutional capital behind our founders and having the patience, persistence and capital to help build companies from one employee to thousands, from day one to IPO,” said Nicole Quinn, Partner, Lightspeed. “We have our finger on the cultural pulse and go where the entrepreneur is – we meet the founders and innovators where they are making their mark.”
Lightspeed Venture Partners Select V, L.P.
As companies begin to inflect and scale, they need a partner who can grow with them and support their scaling ambitions to be a category defining company. Lightspeed Venture Partners Select V, L.P. ($2.26B), accelerates existing Lightspeed portfolio companies and new investments across our global platform led by the Lightspeed Growth Team. Select V cements Lightspeed’s ability to back exceptional founders and outperforming companies and increases Lightspeed’s exposure to companies as they scale and enter the growth phase. In the past six years, Lightspeed has invested $2.2 Billion in early growth companies. And in the past two years alone, Lightspeed celebrated the IPOs and acquisitions of Affirm, Blend, Clever, Grab, Hillevax, The Honest Company, Outbrain, Pensando, TeneoBio, and TeneoTwo, and generated more than $2.7 billion in liquidity for their limited partners.
“Lightspeed’s mission remains the same today as it was at our founding 20+ years ago–to invest in founders and innovators building enduring companies across the world,” said Will Kohler, Partner, Lightspeed. “We believe in investing in companies at scale, and like the companies we invest in, we have to continue to innovate and evolve as a firm in order to be the best partners we can be, and better serve our founders and the companies they’ve created as they grow. These special companies are staying private longer and regardless of where in the world the journey begins, the founders’ ambitions are increasingly global in nature to meet growing demand.”
“We believe innovation is a continuum and requires a full stack platform to support exceptional founders at any stage, in any sector and in any geography throughout their journey…especially in markets like these,” said Michael Romano, Chief Business Officer, Lightspeed. “We’ve witnessed venture capital radically transform society and economies, and be itself transformed by world events – the crash of 2000, the global financial crisis of 2009, and today’s volatile market. It’s why we intentionally architected a reinvestment team three years ago to prepare for a market correction.”
Lightspeed Opportunity Fund II, L.P., & Global Team of Investment Professionals and Advisors
Lightspeed has long held that innovation and entrepreneurship transcend continents. 2021 brought a continued proliferation of global entrepreneurial talent. From Europe to Latin America, Southeast Asia and countless countries in between, Lightspeed sourced and completed more global deals in 2021 than at any other time in the firm’s twenty-year history across their funds. Lightspeed’s global footprint and unified approach across global teams has been critical to supporting the most exceptional Founders.
The Lightspeed Opportunity Fund II, L.P. ($2.36B), is a platform to back breakout companies from across all of the global territories where Lightspeed operates. It is more evident than ever that entrepreneurship is global, and for over a decade, Lightspeed has worked with some of the most experienced partners in China, India, Israel, Europe and Southeast Asia.
The closing of Lightspeed India IV at its $500M hard-cap reflects the firm’s deepening commitment to the India and South East Asia region, since our first India investment in 2007. Alongside India IV, which is a dedicated early-stage fund vehicle, Lightspeed invests in growth-stage companies in the India and South East Asia region from its Select and Opportunity fund vehicles. Over the past 5 years, the firm’s presence has expanded to 28 professionals across four locations (Bengaluru, Delhi, Mumbai and Singapore), representing one of the largest venture advisory teams in the region.
Lightspeed has been a partner to a number of category leaders in India including Indian Energy Exchange, Oyo, Byju’s, Grab, Acko, Razorpay, Udaan, Sharechat and Innovaccer and we continue to witness the broadening and deepening of the opportunity in the region, led by world-class founders and an ever-expanding scope for technology to reshape the economy in India and Southeast Asia.
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