TLDR:
- Sharp Alpha Advisors closed their second fund at over $25 million, focusing on sports, gaming, and entertainment investments at the seed level.
- The fund aims to invest in competition-based entertainment startups where winning matters.
Sharp Alpha Advisors recently announced the closure of their second fund, exceeding $25 million, with a focus on investments in sports, gaming, and entertainment startups at the seed level. Lloyd Danzig, the firm’s managing partner, highlighted the firm’s interest in the intersection of sports, gaming, entertainment, and technology, particularly in competition-based entertainment where winning is essential.
The fund’s purpose is to invest in startups in the $1-2 million range at the seed level to help them establish themselves in the market. The fundraising process for the second fund took nine months, with Danzig mentioning that this timeline is quicker than the typical 12 to 18 months. The round saw participation from pro sports team owners, public companies, and U.S. financial institutions, with the formal list of investors set to be revealed later this year.
Notably, Sharp Alpha Advisors had closed their first fund at $10 million in October 2021, with a significant portion of the fund already allocated to initial commitments. The firm boasts an advisory board comprising industry veterans like Keith Horn, Daniel Bernard, and Emanuel Pearlman, among others.
Danzig hinted at the potential for a third fund in the future, although there is usually a three-to-five-year gap between fundraising periods. With a keen focus on competition-based entertainment and a robust network of industry experts, Sharp Alpha Advisors seems poised to further solidify its presence in the sports, gaming, and entertainment investment landscape.
