Sequoia Capital

Last updated on 2 July 2017

Sequoia Capital is an American venture capital firm.[1] The firm is located in Menlo Park, California and mainly focuses on the technology industry.[2] It has backed companies that now control $1.4 trillion of the combined stock market value.[3] Sequoia manages multiple investment funds including funds specific to India,[4] Israel,[5] and China.[6]

Sequoia capital logo.png
Sequoia capital logo.png

History

Sequoia was founded by Don Valentine in 1972[7] in Menlo Park, California. In the mid-1990s, Valentine gave control of the company to Doug Leone and Michael Moritz.[3] In 1999, Sequoia expanded its operations to Israel.[8] Sequoia Capital China was established in 2005 as an affiliate to the U.S. firm.[9] In 2006, Sequoia Capital acquired Westbridge Capital Partners, an Indian venture capital firm. It later was renamed Sequoia Capital India.[10] CB Insights recognized Sequoia Capital as the number one venture capital firm in 2013.[11] The U.S. firm had 11 partners as of 2016.[12]

In 2015, Sequoia drew criticism[13][14] after Moritz responded to questions about why the U.S. firm had never had a female investing partner by saying Sequoia was looking for women to hire, but "[w]hat we’re not prepared to do is to lower our standards."[15] Members of the media, technology and investment communities criticized the statements as suggesting "smart, driven, capable young women interested in working in technology...don’t exist."[16] Moritz subsequently issued a statement saying, "I know there are many remarkable women who would flourish in the venture business" and said the firm was working to find them.[17] In 2016, Sequoia hired Polyvore CEO Jess Lee, 33, as an investing partner, making her Sequoia's first female investing partner[18] as well as one of its youngest partners.[12]

Investments

The firm invests in both public and private companies. It specializes in incubation, seed stage, startup stage, early stage, and growth stage investments in private companies.[19] The company invests mainly in companies based in the United States for early and seed stage investments. It invests between $100,000 and $1 million in "seed" stage, between $1 million and $10 million in early stage, and between $10 million and $100 million in companies that are in their growth stage.[20]

Sequoia Capital has invested in over 250 companies since 1972, including Apple, Google, Oracle, PayPal, Stripe, YouTube, Instagram, Yahoo! and WhatsApp.[21] The combined current public market value for these companies is over $1.4 trillion, equivalent to 22 percent of Nasdaq.[3] Its portfolio is mainly in financial services, healthcare, outsourcing and technology.[19] As in 2017, they have exited in 68 IPOs and 203 acquisitions.[22]

See also

References

  1. ^ Mazel tov, Israeli startups: Sequoia Capital raise $200M to fund you, Meghan Kelly, August 23, 2012, Venture Beat, retrieved May 12, 2016
  2. ^ Secretive, Sprawling Network of ‘Scouts’ Spreads Money Through Silicon Valley, Rolfe Winkler, November 12, 2015, Wall Street Journal, retrieved May 12, 2016
  3. ^ a b c "Inside Sequoia Capital: Silicon Valley's Innovation Factory". Forbes. Retrieved 2015-12-03.
  4. ^ Sequoia Capital reportedly mulling new $800M India fund, may start raising October, Michael De Waal-Montgomery, VentureBeat, retrieved May 12, 2016
  5. ^ Sequoia Capital raises more than $1 billion for startups, Dan Primack, August 15, 2013, Forunte, retrieved May 12, 2016
  6. ^ Sequoia's Neil Shen Tops Forbes China Ranking Of Best Venture Capital Investors, Russell Flannery, January 15, 2014, Forbes, retrieved May 12, 2016
  7. ^ With WhatsApp deal, Sequoia Capital burnishes reputation, Sarah McBride, February 21, 2014, Reuters, retrieved May 12, 2016
  8. ^ Israel's Most Important Source of Capital: California, Darwin Bond-Graham, August 20, 2014, CounterPunch.org, retrieved May 9, 2016
  9. ^ How Neil Shen Built A Winner At Sequoia Capital China, April 2, 2014, Alex Konrad, Forbes, retrieved March 30, 2016
  10. ^ "How Sequoia Capital India became Asia’s most prolific venture capital firm". Quartz. Retrieved 2015-12-03.
  11. ^ Sequoia Capital leads the venture capital pack, Kent Bernhard Jr, March 15, 2013, Upstart, retrieved May 9, 2016
  12. ^ a b McBride, Sarah; Chapman, Lizette (October 20, 2016). "Sequoia Capital Hires Yahoo’s Jess Lee as First Woman U.S. Investing Partner". Bloomberg. Retrieved 21 October 2016.
  13. ^ Kulwin, Noah (3 December 2015). "Venerated VC Michael Moritz Opens Mouth, Inserts Foot on Question About Hiring Women". Recode. Retrieved 21 October 2016.
  14. ^ Kulwin, Noah (December 5, 2015). "VC Mike Moritz's Comments on Gender Disparity Aren't Uncommon in Silicon Valley (Unfortunately)". Recode. Retrieved November 27, 2016.
  15. ^ Guynn, Jessica (December 3, 2015). "Michael Moritz taking heat for comments about hiring women". USA Today. Retrieved 21 October 2016.
  16. ^ Fox, Emily Jane (December 3, 2015). "Silicon Valley V.C. Firm Can’t Find Any Women". Vanity Fair. Retrieved 21 October 2016.
  17. ^ Chang, Emily (December 3, 2015). "Michael Moritz Amends Remarks About Lack of Female Investors at Sequoia". Bloomberg. Retrieved November 27, 2016.
  18. ^ Garner, Rochelle (October 20, 2016). "VC Moritz, unable to find qualified women, finally hires one". CNET. Retrieved November 27, 2016.
  19. ^ a b "Sequoia Capital website". September 4, 2013.
  20. ^ Rao, Leena (December 17, 2012). "Sequoia Raises $700M For Global Growth Fund". Tech Crunch.
  21. ^ "Inside Sequoia Capital: Silicon Valley's Innovation Factory". George Anders.
  22. ^ "Sequoia Capital | crunchbase". www.crunchbase.com. Retrieved 2017-06-12.

External links

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