Cincinnati seed-stage capital investor CincyTech has extended the deadline for its next investment fund after raising millions of dollars in the past year.
CincyTech, based at the 1819 Innovation Hub in Avondale, will now take investments in its sixth fund, expected to be its largest to this point, up until Sept. 30. It had previously expected to close fundraising by June 30. And that deadline had previously been extended from the initial plan to wrap up the fund by June 2023.
The fund has raised $20.2 million so far, according to a Securities and Exchange Commission filing in late June. That means $7.9 million in new commitments have come in during the past year. The fund’s total commitments are up from $12.3 million as of its previous filing in July 2023, when it completed a first close of the fund.
CincyTech began raising Fund VI in June 2022.
Even the $20.2 million listed in the filing doesn’t reflect its full investment commitments. The Ohio Department of Development committed in late April to award CincyTech a $10 million matching loan through the State Small Business Credit Initiative. It's not yet included.
The $10 million goes to CincyTech’s Fund VI to invest in health care and digital technology companies. Most of the fund’s investments will be in Southwest Ohio, but the fund also can invest in companies elsewhere in the state.
While the filing indicates CincyTech plans to raise $100 million for its sixth fund, the firm doesn’t anticipate that being the case. CincyTech CEO Emma Off told the Courier the company expects to close the fund at a lower amount. She declined to specify that level.
Still, the fund is almost certain to top CincyTech’s previous largest fund. That was its $31 million fourth fund, raised in 2016. Its fifth fund, completed in 2021, totaled $19.7 million.
CincyTech is accepting minimum investments of $100,000. It is supported by its founding partners – Cincinnati Children's Hospital, University of Cincinnati and the Cincinnati USA Regional Chamber – along with Ohio Third Frontier and more than two dozen foundations, corporations, municipalities and individuals.
CincyTech has invested $87 million in 90 startups since launching its first fund in 2007 and attracted more than $1.7 billion in co-investment.
