Formation 8 , the investment firm co-founded by Joe Lonsdale, Brian Koo, and Jim Kim, has announced the closure of its second fund. This significant development provides the company with an additional $500 million to invest in startups across various stages, from seed to late-stage.
A Proven Track Record
Formation 8 was established in 2011, and since then, it has demonstrated its ability to identify and support promising companies. The firm’s first fund has already yielded notable successes, including the acquisition of RelateIQ by Salesforce for $390 million and Oculus by Facebook for a staggering $2 billion earlier this year.
Other notable investments made by Formation 8 include:
- Wish: A popular mobile shopping app that connects consumers with international sellers
- Radius: A sales intelligence platform designed to help businesses grow through data-driven insights
- LearnSprout: An education technology company focused on providing personalized learning solutions
- Leeo: A smart home security system aimed at enhancing user safety and convenience
- Yello Mobile: A mobile payments and financial services provider
Growing Team and Expanding Reach
In preparation for its second fund, Formation 8 has expanded its team significantly. The company has grown from a staff of eight employees to approximately thirty, with notable additions including:
- Shirish Sathaye, former partner at Matrix and Khosla Ventures, who joined the investment team
- Pierre Lamond, a seasoned veteran in the Valley, previously associated with Sequoia and Khosla Ventures, as an advisor to the firm
Strategic Focus on Industry-Transforming Companies
Formation 8’s approach remains consistent with its first fund. The company seeks out industry-transforming companies across various stages, aiming to provide not only capital but also valuable connections to business partners and customers in Asia.
To achieve this goal, Formation 8 is further building out its business-development team in key Asian markets, including Seoul, Singapore, Shanghai, and Beijing. This strategic expansion enables the firm to offer its portfolio companies a unique advantage in one of the world’s most promising and competitive regions.
A Stronger Presence in Asia
The company’s emphasis on Asia reflects its commitment to supporting startups with global ambitions. By leveraging its existing connections and expanding its presence, Formation 8 is well-positioned to capitalize on the growing demand for innovative solutions in the Asian market.
With a proven track record, a strong team, and a clear vision for the future, Formation 8 is poised to make significant investments that will drive growth and innovation in the startup ecosystem.