TLDR:
- The NJ Economic Development Authority is investing up to $6 million in Newark Venture Partners III.
- NVP III will match every dollar of the EDA’s commitment with an additional $2 into New Jersey-based companies.
The NJ Economic Development Authority (EDA) has announced a significant investment of up to $6 million in Newark Venture Partners III (NVP III), the third fund of the Newark-based group. Through the EDA’s Venture Fund Investment Program, NVP III will be required to match every dollar of the EDA’s commitment with an additional $2 invested into New Jersey-based companies. Additionally, a portion of the EDA’s commitment will be exclusively invested in Newark-based startups.
EDA CEO Tim Sullivan expressed his excitement over the collaboration, highlighting the importance of connecting entrepreneurs with capital under Governor Murphy’s leadership. NVP III, an early-stage venture capital firm, leverages corporate limited partner relationships to source investments and add value to portfolio companies. Top corporate investors include Audible, Prudential, RWJBarnabas, Bank of America, and Horizon Blue Cross Blue Shield.
Kathleen Coviello, the EDA’s chief economic transformation officer, emphasized the transformative impact of the investment, citing the firm’s network and expertise in advancing technology businesses across the state. The EDA’s support for early-stage companies and emerging technology aligns with their mission to drive job growth and innovation in New Jersey.
Thus far, the NJEDA has approved investments in 22 venture capital funds, with cumulative commitments exceeding $77 million. NVP’s managing partners, Dan Borok and Vaughn Crowe, expressed their enthusiasm for the partnership with the EDA, highlighting the support provided to Newark Venture Partners since its inception.
Overall, the investment aims to propel New Jersey’s innovation economy forward, with past venture capital partners investing approximately four times the NJEDA’s investment into over 100 New Jersey early-stage companies. These companies have collectively received $3 billion in funding, with active portfolio companies employing over 1,000 full-time employees.
