ICONIQ Growth raises $5.75 billion as seventh flagship fund

ICONIQ Growth has raised $5.21 billion through two funds related to the seventh growth fund family, according to SEC filings. The company’s actual fundraising, however, was $5.75 billion, according to a source familiar with the company.

The late-stage investment unit is part of ICONIQ Capital, which launched in 2011 as a private office that manages the capital of some of the most prominent and wealthiest people in the tech sector, including Mark Zuckerberg and Jack Dorsey. target of $5.75 billion, according to information from the New Mexico State Investment Council, the Wall Street Journal reported in March 2022.

ICONIQ Growth did not immediately respond to a request for comment.

The size of the fund is a substantial increase over Iconiq’s Fund VI target of $3.75 billion.

ICONIQ Growth’s latest fund returns are impressive considering that many other major growth investors have fallen far short of achieving their goals. Notably, Tiger Global closed its latest venture capital fund at $2.2 billion, the firm’s smallest fund since 2014. Bloomberg reports this. Tiger initially planned to raise $6 billion, less than half of its predecessor $12.7 billion the company closed in March 2022.

The two giant funds are not in exactly the same position. Tiger global was widely criticized for investing capital too quickly at exorbitant prices during the tech boom of 2020 and 2021 (although the idea that overpayment was always pushed back). And unlike Tiger Global, which has been actively selling secondary holdings to achieve liquidity, ICONIQ Growth has been seeking secondary positions, according to two sources.

The entity’s fundraising likely means its backers are relatively satisfied with the company’s investment strategy.

ICONIQ Growth has completed several dozen exits from its portfolio in recent years, including the IPOs of Snowflake, Airbnb, GitLab and HashiCorp, PitchBook data shows. In 2023, ICONIQ Growth invested $1.1 billion in 22 companies, it says, and includes his wallet startups like Drata, Kanva, Driveway, ServiceTitan, author And Pigment.

The company’s Fund VII-B has raised $3.95 billion of 291 investors, while Fund VII closed at $1.26 billion from 462 donors, according to registrations with the regulators.

ICONIQ Growth’s seventh vehicle will invest in 20 to 25 technology companies, according to information from the New Mexico State Investment Council, Buyouts Insider reported reported in March 2022.