One hundred and fifty-eight early stage venture capital funds are currently raising capital with a collective target of $12.3bn, according to Preqin’s Funds in Market database. Seventy-one of these funds have already completed at least one interim close, and aggregate capital commitments currently stand at just under $2.5bn.
In terms of geographical fund focus, 59% of the early stage investment vehicles currently in market predominantly target opportunities in North America, 23% primarily seek investment opportunities in Europe, and the remaining 18% invest mainly across Asia and Rest of World. The largest fund currently in market is Atomico Ventures III. Managed by Atomico, the fund is seeking capital commitments totalling €300mn for investment in internet and technology companies globally.
Preqin’s extensive fundraising data shows that between January and November 2012, 58 early stage venture capital funds have reached final close, raising $10bn. This demonstrates a continued upward trend for the fund type, following 73 early stage funds holding a final close during 2011 having raised $8.7bn, and 73 funds closing during 2010 with an aggregate total of $7.1bn in capital commitments. The largest fund to close so far in 2012 is Andreessen Horowitz Fund III, which collected $1.5bn in capital commitments, ahead of its target of $900mn. The fund, which closed in January, targets technology-focused firms that operate across North America.