The mega-VC fund is growing. A few years after $1 billion funds set records, Oak Investment Partners has set the new mark with the closing of its $2.56 million fund.
The closing arrives in spite of down performances in recent years for the firm. Its 1999 ninth fund had a negative 18.5% IRR while its 2001 tenth fund had an IRR of 0.2% as of December 2005, according to CalPERs data.
The firm did rebound strongly since the closing in 2004 of its $1.6 billion eleventh fund, which has already broken even. And the massive fundraising for its twelth fund goes to show that repuation is paramount. Among Oak's early portfolio companies are storage infrastructure stalwarts like SanDisk Corp. and Seagate Technologies Inc., computer maker Compaq Computer Corp. and retailer Office Depot Inc.
Aside from figuring out how to deploy so much capital, the big question now is whether New Enterprise Associates, which is raising a mega-fund of its own, can top Oak.
For more on Oak's mega-fundraising, see:
The Deal
Silicon Beat
Tags: oakinvestment, vc, venture capital
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