5 years ago

Hoxton Ventures Closes Second Fund at Nearly $100 Million

  • Hoxton Ventures, a London-based VC firm, has closed its second fund at just under $100 million

  • The firm's first fund invested in companies like Deliveroo, Babylon, and Darktrace, all now valued at over $1 billion

  • Hoxton has a diverse portfolio, with 21% of its companies founded by women and 38% started by minorities

  • The firm takes a very opportunistic approach, writing checks of $500,000 to $5 million at pre-seed, seed, and Series A

  • They are sector-agnostic but focus on founders keen on expanding to the US

  • Hoxton's unique approach to sourcing deals, including data scraping and leveraging founder networks, has contributed to its success

  • The firm also acknowledges its first fund's shortcomings, including the regret of not being able to write larger checks

  • Despite the challenges of raising the second fund, Hoxton managed to secure funding from British Patient Capital and other investors

  • Hoxton plans to maintain its current size and focus on making high-quality investments, rather than aiming for a massive fund.

      • ProblemTechnology Infrastructure

      "Venture capitalists (VCs) in the UK are often stuck in old ways of doing things. They're too hierarchical and structured, relying on too much screening and passing information up the chain. This stifles innovation and leads to missing out on great companies."

      Solution

      "Hoxton Ventures is a different kind of VC firm. They are flat and partnership-led, letting partners directly meet and work with founders. This gives them a more direct and authentic way to invest and allows them to find the hidden gems others miss."

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