Endeavor Catalyst raises $320M to fund founders outside Silicon Valley
Endeavor Catalyst closes a new $320 million fund to back startups outside major tech hubs, leveraging a network of 400 limited partners globally.
Stock photo for illustration only, not from the actual event
- Endeavor Catalyst has raised a new $320 million fund to support startups outside major tech hubs.
- The fund is led by Allen Taylor and Jackie Carmel, backed by a network of 400 limited partners.
- It targets companies raising at least $5 million, writing checks between $1 million and $3 million.
- Current holdings include tech unicorns and major public companies like ElevenLabs and Bending Spoons.
While a massive wave of investors continues to crowd into San Francisco, Endeavor Catalyst—the venture arm of the global nonprofit Endeavor—is taking a different path by closing a new $320 million fund dedicated to supporting startup founders located in tech ecosystems outside major hubs, which the organization refers to simply as "elsewhere."
The fund is managed by managing partner Allen Taylor, a 20-year veteran of the organization, and managing director Jackie Carmel, who joined 12 years ago, supported by a 16-person team. Endeavor itself serves as the official general partner. Linda Rottenberg, co-founder of Endeavor and co-creator of Endeavor Catalyst in 2012, explains that half of the fund’s profits flow back to Endeavor, ensuring every investment helps nurture the next generation of founders building outside traditional centers.
Stock photo for illustration only, not from the actual event
When portfolio companies raise at least $5 million in a round led by another institutional investor, Catalyst joins on the same terms as the lead. The team notes that check sizes typically range from $1 million to $3 million, capped at 10% of the total round. Over the coming years, the fund plans to back between 40 and 50 companies annually, totaling up to 150 startups overall.
While Taylor declined to share cash-on-cash return figures for earlier vehicles, he highlighted strong milestone metrics. Across its five funds, Endeavor Catalyst has backed 437 companies across 44 markets, with 83 of those startups currently valued at $1 billion or more, alongside 39 exits and 11 IPOs.
"half of the fund’s profits go back to Endeavor, so every investment helps the next generation of founders who are building elsewhere."
Linda Rottenberg
Notable current holdings include ElevenLabs, the four-year-old AI voice tool developer originally founded in Poland that recently reached a $22 billion valuation in a secondary sale, and Bending Spoons, a 13-year-old Italy-based tech conglomerate that went public in July with a current market cap of $26 billion.
This fundraise highlights a broader shift among institutional investors looking beyond traditional American tech clusters like Silicon Valley. By utilizing local mentorship and boots-on-the-ground teams in dozens of international markets, Endeavor Catalyst bridges capital gaps in emerging startup regions, while its nonprofit profit-sharing model creates a self-sustaining cycle for global entrepreneurship.
The newest fund counts 400 limited partners, including Hoffman, hedge fund manager Bill Ackman, and Dutch investment group Prosus. Taylor notes that approximately 30% of these backers are Endeavor founders themselves, including builders from Nubank, Revolut, and Checkout.com. Roughly 90% of the venture arm's investments target regions outside the U.S., with Europe serving as its fastest-growing market.
Source: TechCrunch
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