Madrona's Biggest Fund Yet: $770M in New Capital

Madrona, a Seattle-based investment firm, has just hit a big milestone in its 30-year history. The company announced it has raised $770 million, its largest fund to date. This is quite a feat, especially when many venture firms are struggling to raise funds. Why the excitement around Madrona? Well, it's done well in distributing capital back to its investors, even in tough times. This year, it sold a couple of companies, like Lexion to Docusign for $165 million and Octo AI to Nvidia for $250 million. Impressive, right? Madrona started small, with some heavy-hitters writing a check to Amazon way back in 1995. Since then, it's backed giants like Redfin, Smartsheet, and Snowflake. But it's not just about Seattle. The firm opened a Silicon Valley office in 2022. So, where will this new $770 million go? Think AI applications in travel, life sciences, and infrastructure. Madrona plans to support about 30 early-stage startups with around $490 million and invest the rest in 12 companies raising their Series B or C funds. As Madrona enters its fourth decade, it's looking ahead with confidence. The firm sees a 'risk-on mindset' that will boost entrepreneurship and create value.