Techstars accelerator raises $150M fund

Jan 30, 2015
Austin Business Journal

An affiliate of business accelerator Techstars LLC has raised a $150 million fund to invest in startups, with an Austin executive named as one of three officials to oversee the program

Colorado-based Techstars Ventures, which operates a program in downtown Austin, plans to invest in companies "emerging from the Techstars ecosystem, which includes Techstars accelerator program graduates, new companies started by Techstars alumni, and companies formed by Techstars mentors," according to a company blog

Austin-based Director Jason Seats was named as one of three new Techstars Ventures partners. Seats, who joined Techstars in 2011, was also the founder of Slicehost LLC, a cloud computing and hosting company acquired in 2008 by San Antonio-based Rackspace Hosting Inc

Techstars, which was founded in 2006, launched its Austin-based program in 2013. Twenty-one startups have since gone through the local program, officials said

Techstars provides each startup with $18,000 in seed funding for a 6 percent ownership stake. Techstars entrepreneurs have raised more than $5 billion in venture capital and its related companies are estimated to be valued at more than $42 billion, officials said

Several other incubators and accelerators operate in Austin, such as Tech Ranch, the Capital Factory and DreamIt Ventures

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