A Midwest venture capital firm with heavy Cincinnati ties is raising a new $75 million fund, according to a Securities and Exchange Commission filing, its fourth since its launch in 2009.
If successful, the fund from Indianapolis-based Allos Ventures, which maintains offices in Cincinnati and Chicago, would top its current fund by $23 million. Allos closed a $52 million Fund III in 2020, which it used to invest in high-growth, early stage tech companies in the Midwest, namely Ohio, Indiana and Pennsylvania.
Allos co-founder John McIlwraith, who leads the Cincinnati office, declined to comment on the filing; federal regulations restrict publicity when companies are fundraising. But he said the firm's Fund III is essentially completed invested.
“Business is good,” he said. “That gave rise to the need to start thinking about the future.”
It appears Allos will look to expand its investment opportunities in Illinois, Wisconsin and beyond. The company earlier this month named a new associate, Victoria Bills, for the firm’s Chicago office.
The Midwest ecosystem has matured significantly since Allos made its first investment. As of October in Ohio alone, VC investment topped $2 billion in the state for the first time in history.
Locally, Allos’ portfolio includes five Greater Cincinnati companies, including its latest, Carefeed, which provides digital communication solutions to senior care facilities. The firm has also invested in Coterie, Enosix, Abre and Cordata.
Its most notable exits include Cincinnati-based Assurex Health, which was sold to Myriad Genetics for $290 million, including earn outs; Detroit-based PeachWorks, which was sold to Beyond; Indianapolis-based Octiv, which was acquired in 2018 by Conga, a Colorado company specializing in document automation; and Indianapolis-based Lessonly, an online training software company acquired in August by California-based Seismic.
