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Material Impact raises fund target by 30% to $325M

Jun 3, 2022
Illustration of a handshake with shapes and dollar elements.

Illustration: Gabriella Turrisi/Axios

Material Impact, a Boston-based early-stage venture firm, raised the target for its third fund to $325 million from $250 million, the company said in a filing. The firm invests in material science startups.

Why it matters: The 30% bump in fund size shows that LPs aren't backing away from early-stage venture funds in this space. The demand comes even as early stage faces greater risk amid the market beatdown.

What's happening: Material Impact has raised nearly $313 million of the target $325 million from 51 total investors, the company said in the filing, which Axios was first to report.

  • In February, Material Impact filed its initial disclosure for Fund III with a target of $250 million.
  • Carmichael Roberts and Adam Sharkawy founded the firm in 2015. The firm has made 22 investments to date out of its two funds.
  • Those include Nauticus Robotics, hydro panel maker Source, and Jump Aero, which makes technology for electric airplanes.
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