After completing $300 million raise and bringing the total amount under the management to $1.1BN+, 83North has closed their fifth fund. The firm, in 2015, spun out first from the Silicon Valley Giant Greylock Partners. They invested in the startups in Europe as well as in Israel, especially out of the offices in Tel Aviv and London and lastly back in 2017, closed a $250M fourth fund.
They invested earlier and in the growth stage startups in the consumers as well as in the enterprise sectors throughout a wide range of the technological areas which include FinTech, Enterprise Software, Data Centre & Cloud and also the Enterprise marketplaces. Laurel Bowden, the general partner is leading the fund and says that the most recent investment is as usual with no significant changes in the mixture of LPs investing for fifth close. She told to the TechCrunch that as a fund they were focused on keeping the size as low as possible and they thought that for the investment chance in Israel and Europe. She added that those were good-sized funds which returned and made excellent multiplications. She concluded by saying that if we went back to the history of their fundraising, we would see that they were always amidst of $200M-$300M which was the size they liked to keep.
83North now made about 70 investments that means they have five partners who are making one investment in a year. Bowden, when was discussing about the startup valuations, said that European startups were not insulated from the wider investment dynamics which had been pushing the startup valuations above, even that was bending the market and that’s why they were focused on raising some smaller funds. Because they thought that they had lesser pressure to invest and they felt that the valuations had got so much high or there was a level. She concluded that they liked to keep their fund size smaller.