Evolution Hauls in $1.1B for Cybersecurity, AI Fund

Evolution Equity Partners, a NYC-based growth capital investment firm, has closed Evolution Technology Fund III, LP, a cybersecurity and AI fund, at $1.1 billion.

The fund will invest between $20 million and $150 million in cybersecurity companies and startups that use machine learning and AI to create “market-leading” platforms.

The oversubscribed raise saw participation from existing and new limited partners representing a diversified mix of institutions, sovereign investors, insurance companies, endowments, foundations, fund of funds, family offices, and high-net-worth individuals.

“In one of the toughest ever fundraising environments, we are grateful for the tremendous support,” said Richard Seewald, Founder and Managing Partner at Evolution Equity Partners. “Given this backdrop, we remain disciplined about investment pacing and prioritizing high conviction next generation cybersecurity investment opportunities driven by companies that are safeguarding the digital world.”

Evolution, which has offices in Palo Alto, London and Zurich in addition to New York, was founded by Seewald and Dennis Smith.

Evolution’s 30-person team has about $2 billion in assets under management and has funded 60 firms so far; the prior fund was $400 million. Some of the firm’s most successful ventures include Arctic Wolf, Talon Cyber Security, Snyk, Aqua Security, SecurityScorecard, and Carbon Black.