Tiger Global Raises $8.8 Billion in First Close of Biggest Fund

(Bloomberg) — Chase Coleman’s Tiger Global Management has attracted $8.8 billion in the first close of its biggest venture fund on record. 

Employees kicked in about $1.5 billion, roughly $500 million more than they initially intended to invest, according to investors who asked not to be identified because the information is private. 

Tiger’s venture capital unit, led by Scott Shleifer, has already called about a third of the cash and is putting it to work, the investors said. The fund has a $10 billion target and will have its second close in March. 

A spokeswoman for the New York-based firm declined to comment. 

Since its 2003 debut, the venture unit has made more than 300 investments across 30 countries and the private funds have returned a net 27% internal rate of return, according to documents obtained by Bloomberg. Previous vintages of the Private Investment Partners fund invested in companies including Toast Inc., ByteDance Ltd., JD.com Inc., Peloton Interactive Inc. and Flipkart. 

The PIP 15 fund will invest in internet technology startups in the U.S., China and India. The fundraising brings Tiger’s assets to about $95 billion — up from $28 billion in 2018 — with the private equity business comprising about two-thirds of the total.

Tiger Global, which also manages $35 billion across its hedge fund and long-only businesses, has been ramping up its venture capital investments, backing a record number of startups this year. It has also launched several recent funds, each bigger than the one that preceded it. It raised a $6.7 billion venture fund in March, and a $3.75 billion fund early last year.  

The past nine PIP funds gained 49% this year through September, one of the documents show. Tiger’s hedge fund is up 5.8% in that span.

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