Our AI writing assistant, WriteUp, can assist you in easily writing any text. Click here to experience its capabilities.

Anthemis targets $200M for new fund after layoffs and canceled SPAC

View Original View Raw

Summary

Anthemis Group is trying to raise $200 million for a third fund, according to an SEC filing. The firm previously raised $106 million for its first venture fund in 2018 and had $1.5 billion in assets under management altogether. The firm had to lay off 16 people, or 28% of its staff, in April due to economic downturn and venture capital slowdown. Additionally, plans to raise a SPAC late last month were scrapped due to proposed guidelines from the SEC. Anthemis has made various investments over the year and seen a few exits, but also had some controversial issues arise with two portfolio companies.

Q&As

What is Anthemis Group attempting to raise capital for?
Anthemis Group is attempting to raise $200 million for a third fund.

How much capital has Anthemis Group secured in commitments so far?
Anthemis Group has so far secured commitments of $36.4 million.

What strategies has Anthemis Group adopted to raise capital?
Anthemis Group has adopted strategies from its venture studio through to its venture growth fund to raise capital.

What is the SPAC Accountability Act of 2022 and what does it propose?
The SPAC Accountability Act of 2022 proposes to expand the legal liability of parties involved in SPAC transactions, close loopholes that SPACs have “long exploited to make overblown projections” and lock in longer the investors sponsoring a deal.

What companies have Anthemis Group invested in this year and what have been the outcomes of some of their portfolio companies?
Anthemis Group has invested in Flyby, Elevate, Greenspark, Agreena, Flock, eToro, Betterment, Vouch, and Daylight this year. Outcomes of some of their portfolio companies include Power being acquired by Marqeta, Goji getting picked up by Euroclear, Pipe's CEO stepping down, and a lawsuit against Daylight by three former employees.

AI Comments

👍 Anthemis has had many successful investments, such as Flyby, Elevate, Greenspark, Agreena, and Flock. It is good to see that they are continuing to invest even in difficult market conditions.

👎 The recent controversy surrounding Pipe and the lawsuit against Daylight have been damaging for Anthemis' reputation.

AI Discussion

Me: It's about Anthemis Group, which is a fintech firm that is trying to raise $200 million for a third fund. They had to scrap their plans to raise a SPAC late last month and laid off 16 people in April due to the economic downturn and venture capital slowdown.

Friend: Wow. That's a lot of changes. What are the implications of this article?

Me: Well, the article highlights the fact that the venture capital market has tightened dramatically and that the SPAC industry has declined since 2022 due to the SEC introducing proposed guidelines. This means that firms like Anthemis have had to adjust their strategies and may have difficulty securing funding. Additionally, it shows that even with firms raising large amounts of capital, there is still risk involved as some of their portfolio companies have faced issues.

Action items

Research the SEC filing for Anthemis' third fund and analyze the commitments it has secured so far.
Follow the progress of the SPAC Accountability Act of 2022 and other proposed regulations for SPACs.
Monitor the performance of Anthemis' portfolio companies, such as eToro, Betterment, Vouch, Pipe, and Daylight, and analyze any potential implications for the firm.

Technical terms

SEC Filing: A filing with the U.S. Securities and Exchange Commission (SEC) that provides information about a company's financial condition, operations, and other related matters.
Fintech: Short for financial technology, fintech is the use of technology to provide financial services.
Venture Studio: A venture studio is a company that creates, develops, and invests in startups.
Venture Growth Fund: A venture growth fund is a type of venture capital fund that invests in established companies that have already achieved some level of success.
SPAC: A special purpose acquisition company (SPAC) is a publicly traded shell company that is created for the purpose of raising capital through an initial public offering (IPO) for the purpose of acquiring an existing company.
Senator Elizabeth Warren: Elizabeth Warren is an American politician and former professor of law who is the senior United States Senator from Massachusetts.
SPAC Accountability Act of 2022: A proposed bill introduced by Senator Elizabeth Warren that would expand the legal liability of parties involved in SPAC transactions, close loopholes that SPACs have “long exploited to make overblown projections” and lock in longer the investors sponsoring a deal.