New Enterprise Associates facts for kids
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| Private | |
| Industry | Venture capital |
| Founded | 1977 |
| Founders | Richard Kramlich Chuck Newhall Frank Bonsal |
| Headquarters | Chevy Chase, Maryland, U.S. |
| AUM | Over $20 billion |
New Enterprise Associates (NEA) is a large company in the United States. It is a venture capital firm. This means NEA invests money in new and growing businesses. They help these companies get started and expand. NEA invests in many different types of industries. With about $25 billion to invest, NEA is one of the biggest venture capital firms in the world.
What is NEA?
NEA has its main offices in Menlo Park, California and Washington, D.C.. They also have offices in other cities around the world. These include Baltimore, Bangalore, Beijing, Boston, Mumbai, New York City, San Francisco, and Shanghai.
Since it started, NEA has invested in almost 1,000 companies. They have helped over 650 of these companies succeed. This includes more than 250 companies that went public (their shares were sold on a stock market). It also includes over 300 companies that were bought by other businesses.
How NEA Started
NEA was founded in 1977. The three founders were C. Richard (Dick) Kramlich, Chuck Newhall, and Frank Bonsal.
- Dick Kramlich had worked with a famous investor named Arthur Rock.
- Frank Bonsal helped new companies sell their shares to the public.
- Chuck Newhall managed an investment fund before NEA.
The company started with offices on both the East Coast and West Coast of the U.S. One of NEA's first investments was in a company called 3Com in 1981.
NEA's Growth Over Time
NEA's first investment fund had $16 million. This money was used to invest in new companies.
- Their second fund raised $45 million.
- The third fund collected $125 million in 1984.
NEA continued to grow steadily through the 1980s and early 1990s. They raised $900 million from 1987 to 1996.
Starting in 1998, NEA began raising much larger funds.
- Their tenth fund had $2.3 billion in 2000.
- After a smaller fund in 2004, they raised $2.3 billion and then $2.5 billion for the next two funds.
- In 2010, NEA launched its thirteenth fund with $2.5 billion. This was the largest fund since the Financial crisis of 2007–08, a time when the economy was very difficult.
- In 2012, NEA raised $2.6 billion for its fourteenth fund.
- In April 2015, NEA closed its fifteenth fund with $3.1 billion. This was the largest venture capital fund ever raised at that time.
- In June 2017, NEA closed its sixteenth fund with $3.3 billion. Again, this was the largest venture capital fund ever raised.
In 2018, Jeff Immelt, who used to be the CEO of General Electric, joined NEA. He became a venture partner, helping to guide investments.
Companies NEA Has Invested In
NEA has invested in many different companies. Here are a few examples:
- Appian
- Automation Anywhere
- Box, Inc.
- ByteDance (known for TikTok)
- Cloudflare
- Coursera
- Databricks
- Edmodo
- FiscalNote
- Formlabs
- Goop
- Houzz
- MasterClass
- MongoDB
- Patreon
- Plaid
- Robinhood Markets
- ThirdLove
- Upwork
- Wheels Up
- Zoomdata
See also
- Flagship Pioneering, another company that invests in life sciences
