NEA Closes On New Funds with $6.2 Billion of Capital

New Enterprise Associates (NEA) has closed on $6.2 billion of capital across two funds. The new pair of funds marks a first for NEA, with one dedicated to early-stage investing and the other to venture growth-stage opportunities.

According to NEA, both funds will be invested across a range of technology and healthcare sectors, including enterprise and consumer technology, digital health and life sciences.

Scott Sandell, who has led NEA’s investments in a range of technology companies for nearly three decades, enters his third investing cycle as the firm’s managing general partner with the new funds.

“We are deeply grateful to our limited partners for the trust they have placed in our team and excited to have raised the largest pool of capital in NEA’s history at a time of great uncertainty, but also tremendous opportunity,” said Mr. Sandell. “Our own performance over decades strongly affirms the importance of both peaks and troughs in a healthy ecosystem for innovation and company building, and we look forward to supporting founders at every stage with both the capital and the cycle-tested expertise NEA has always brought to bear in tough times.”

NEA’s core investing practices will continue to be led by Managing General Partner, Technology, Tony Florence; and Managing General Partner, Healthcare, Mohamad Makhzoumi. Messrs. Florence and Makhzoumi joined the firm in 2008 and 2005, respectively, and were promoted to their current roles in 2021.

“Healthcare innovation has never been more important than at this moment in time,” said Mr. Makhzoumi. “With the industry on the precipice of dramatic change, we are eager to build on NEA’s enduring legacy of creating and investing in the next generation of tech-enabled healthcare disruptors and transformational life sciences companies.”

“As technology transforms every industry globally, we see an expanding opportunity set at both the early and growth stages that our team is exceptionally well-positioned to execute on given our deep domain expertise across core sectors of innovation including software, infrastructure, fintech, next-generation web technologies, and artificial intelligence,” said Mr. Florence.

With the closings of the two new funds, NEA’s assets under management now exceed $25 billion as of December 31, 2022.

New Enterprise Associates was founded in 1977 and its investment history includes more than 270 portfolio company IPOs and more than 450 mergers and acquisitions. NEA has offices in Menlo Park, California; Chevy Chase, Maryland; and New York City.

© 2023 Venture Capital Investor | January 26, 2023