Canaan announced $850 million in new capital today, continuing the firm’s 35-year history of building and supporting transformational companies in technology and healthcare. Canaan XIII is a $650 million oversubscribed fund designed to support visionary entrepreneurs seeking seed and Series A funding, as well as reserves to support companies through exits such as merger and acquisition activity and initial public offerings IPOs. An additional $200 million in commitments is available to accelerate the growth of Canaan’s active funds’ existing portfolio companies. Canaan’s total assets under management now stand at $6.8 billion, thanks to the addition of these new funds.
Canaan has long sought to cultivate deep relationships with the brightest scientific and entrepreneurial minds in academia and industry during their early stages of business development.
Canaan’s consistent approach has resulted in a long track record of enduring companies and deep partnerships with entrepreneurs, engineers, and scientists, with investments spanning technology and life sciences since its inception.
This approach has also resulted in many successful exits, with important new technologies such as Dexcom, Instacart, and Match, as well as 14 FDA-approved drugs successfully entering the market, including ten in the last eight years.
Canaan’s portfolio has seen ten IPOs, four public listings, and eight M&A exits in the last five years, totaling nearly $1.7 billion in realizations. They include initial public offerings for Day One Biopharmaceuticals in May 2021, TheRealReal in June 2019, and Arvinas in September 2018, as well as public listings for Aeva and Berkshire Grey in 2021.
They also include acquisitions for Kustomer, which was purchased by Meta for $1 billion in February 2022, Unchained Labs, which was purchased by the Carlyle Group for $435 million in April 2021, Ambra Health, which was purchased by Intelerad Medical Systems in October 2021, ShopKeep, which was purchased by Lightspeed for $440 million in November 2020, and Axis Security, which was purchased by Hewlett Packard Enterprise in March 2023.
Canaan XIII, like previous funds, will invest in seed and early-stage technology companies across enterprise, consumer, frontier tech, and fintech. Canaan XIII’s enterprise investments, for example, will seek to build on recent experience with leading developer security platform Snyk and industrial security leader Dragos as companies face business interruptions and financial consequences from cybersecurity attacks.
Canaan will also look to expand its consumer and frontier tech practices, specifically marketplaces, commerce, and gaming, as well as companies in robotics, supply chain, logistics, autonomous vehicles, and AI/ML. Finally, fintech investments are expected to be centered on platform and infrastructure firms in the financial services, insurance, and real estate sectors.
Canaan is an early-stage venture capital firm that invests in visionary entrepreneurs. We partner with entrepreneurs building the next generation of technology and healthcare companies that will transform how we live, work, and thrive, with $6.8 billion under management, a diverse fund, and hundreds of exits to date.