AOL founder and former chairman and CEO Steve Case has moved on to investing, and is doing so in a big way. Revolution Growth, the firm he founded in 2005 along with former AOL execs Donn David and Ted Leonsis, is raising another $450 million for its third fund to invest in growth-stage startups, according to an SEC filing.
Revolution Growth typically invests between $25 and $50 million into startups showing strong growth, and generally looks for investment opportunities outside the Silicon Valley tech “echo system.” The firm has been actively investing in tech-enabled businesses that have strong consumer brands.
Some recent investments from Revolution Growth’s second fund include self-storage marketplace Sparefoot, organic restaurant chain Sweetgreen, on-demand home services company Handy, and custom printing e-commerce startup CustomInk.
Revolution Growth III is being raised about three and a half years after the close of the firm’s second fund, which also raised $450 million. In addition to the growth fund, the firm has its Revolution Ventures Fund for investing in earlier-stage companies. The most recent fund from Revolution Ventures, which was its second, raised $200 million in 2013.
A representative from Revolution Growth declined to comment on the filing.