VC Lux Capital Raises $1.15 Billion For Science, Deep-Tech Fund

Venture capital firm Lux Capital has raised $1.15 billion to invest in startups focused on science and so-called deep technologies such as artificial intelligence, robotics and biotechnology.

(Bloomberg) — Venture capital firm Lux Capital has raised $1.15 billion to invest in startups focused on science and so-called deep technologies such as artificial intelligence, robotics and biotechnology.  

Lux, which has offices in New York city and Menlo Park, California, said the raise will finance its largest fund to date, Lux Ventures VIII, or Lux 8. Investments will focus on early-stage companies at the intersection of biology and technology, manufacturing, aerospace and AI. The firm’s total assets under management now exceed $5 billion.

The new fund raise comes at a tumultuous time for the VC industry. While investments in venture funds remained high in 2022, they’re on track for a much slower pace in 2023 so far, according to PitchBook data. Venture funding to startups plunged in 2022 amid rising interest rates and an economic slowdown. And a banking crisis spurred by the collapse of Silicon Valley Bank, the financial institution of choice for VCs and startups alike, has created its own challenges. The value of venture-backed deals in the US hit its lowest level in 13 quarters in the first three months of 2023, according to PitchBook.

Lux, founded in 2000, said it’s still investing and is in a strong position to help founders navigate the downturn. 

(Updates with context in the third paragraph.)

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