CPBJ: Wolf administration approves $5 million for Pa. startups
Published in the Central Penn Business Journal | April 22, 2021 2:43 pm
By: Ioannis Pashakis
Three venture capital firms have won approval to receive up to $5 million in funding to invest in Pennsylvania startups.
The Department of Community and Economic Development (DCED) and the Ben Franklin Technology Development Authority announced on Thursday that the authority approved two in-state firms and one out-of-state firm to invest millions into up-and-coming Pennsylvania businesses.
Conshohocken-based SeventySix Capital Fund II LP, was recommended for up to $2 million in state funds. SeventySix, which refers to itself as a sports tech venture capital fund, is expected to use the funds for early-stage high-growth companies with a focus on sports digitization, esports and sports betting.
The company said it will use the funds to invest $250,000 to $2 million into each company it chooses with a reserve for follow-on investment.
412 Venture Fund LP, a Pittsburgh-based firm focused on investment opportunities within the city, plans to use the fund to target investments of $100,000 to $1 million in pre-seed and early-stage companies. Finally, SoundBoard Venture Fund LP, based in Montclair, New Jersey, is expected to receive $1 million in funds and will target investments in pre-seed and early-stage companies with an emphasis on agriculture, insurance, manufacturing, real estate and construction, supply chain/logistics and urban planning and transportation.
“It is critical that we invest in start-up companies now for the benefit of our future, and the investments made today will help promising businesses receive the assistance they need to take their next step,” said Dennis Davin, DCED Secretary. “Investments in budding industries and technologies will position Pennsylvania as the best place to live and work, with a friendly business climate and an enhanced quality of life.” Ioannis Pashakis | follow PashakisCPBJ on Twitter Ioannis Pashakis covers health care, the gig economy, cannabis and technology.
Email him at email@example.com.