A local angel investor organization has set out to raise a $25-million venture capital fund.
Grand Rapids-based Grand Angels said yesterday it filed a form Regulation D with the Securities and Exchange Commission (SEC) to create Grand Angels Venture Fund III.
GA Fund III will invest in 12-15 "emerging companies" in four market segments: advanced manufacturing and materials; advanced technologies in agriculture and food; life sciences; and software.
Paul D’Amato is the GA Fund III managing director and a Grand Angels member.
“Grand Angels has been building business in Michigan for 14 years, and Fund III is created to profitably attract more emerging technologies that can take advantage of Michigan’s legacy in advanced manufacturing and materials,” D’Amato said.
“Paired with the deep and rapidly growing Grand Angels network, we can work closely with our portfolio companies and connect them with the mentors and talent they need to scale, mature or bring them to exit faster and more efficiently.”
The Grand Angels team is fundraising now through around the beginning of 2019, with no specific close date set.
It is seeking capital from accredited investors within and outside of the Grand Angels network, as well from family offices and corporate VC sources.
The Grand Angels network and its funds are Michigan-focused, “regionally opportunistic” and have provided funding for entrepreneurs coming out of the state’s colleges and universities.
“Michigan’s university system has created a deep bench of technology and startup talent for our state,” said Tim Parker, president, Grand Angels. “The Grand Angels network and Grand Angels Fund III is positioned to connect these new companies with the capital they need to succeed in the market.”
Since 2004, Grand Angels funds and its network have invested in 40 startups and led or participated in more than 100 investment rounds.
Current portfolio companies include Ablative Solutions, Ambiq Micro, Blue Medora, HistoSonics, Micro-LAM, Tetra Discovery Partners and Vestaron.
Recent exits include Accuri Cytometers, Armune Bioscience, Gemphire, Grand River Aseptic Manufacturing and ProNAi.