This morning, Revolution, a Washington, D.C.-based venture firm founded by former AOL executives Steve Case, Donn Davis and Ted Leonsis, is taking the wraps off its newest growth fund, which it has closed with $525 million.
Revolution — which has helped fuel a growing startup scene in Washington, with regional bets that include the fast casual restaurant chain Sweetgreen; the online retail company CustomInk; and Optoro, which helps retailers and manufacturers resell their returned and excess merchandise — initially set out to raise $450 million for the new fund roughly a year ago, shows an SEC filing.
Revolution Growth’s first growth fund had closed with $450 million in December 2012.
Revolution Growth targets companies based outside of major tech hubs like Silicon Valley and New York City, and it typically invests between $25 and $50 million into startups showing strong traction.
In addition to the growth fund, Revolution manages an early-stage venture arm called Revolution Ventures that has so far raised two funds and which invests between $5 million and $10 million in startups. (Revolution Ventures’s current early-stage fund, a $200 million vehicle, closed in 2013, so we can probably expect an announcement about a third venture fund shortly, too.)
In conjunction with the new fund, Revolution Growth is announcing that Evan Morgan and Scott Hilleboe were promoted to partner; Steve Murray (formerly of Softbank) joined as a partner; and the firm hired three new vice presidents — Chris Hughes, Ashley Larson and Kristin Gunther — who joined associate Patrick Conroy.