J2 Ventures, a deep tech venture capital fund that focuses on technologies crucial for both the private sector and the national security interests of the U.S. and its allies, has successfully raised $150 million for its new Argonne Fund. This fund, which was oversubscribed and is majority veteran-owned and led, has garnered support from some of the largest financial institutions globally, including JP Morgan, MetLife, and the New Mexico State Investment Council. The new fund is more than double the size of J2 Ventures’ previous fund.
The infusion of fresh capital will enable J2 Ventures to further invest in startups that are poised for significant growth through government collaborations. These startups are leveraging technologies that promise substantial returns with minimal correlation to traditional markets. J2 Ventures specializes in investing in startups within the fields of Advanced Computing, Cybersecurity, Telecom/Infrastructure, and Healthcare. The firm assists these companies in securing funding and contracts from the military and other branches of government, facilitating the scaling of frontier technology products to their markets.
Alexander Harstrick, Managing Partner of J2 Ventures, expressed his enthusiasm about the fund’s success, stating, “It is an honor to continue and significantly grow the impact we are having at J2 Ventures with our latest fund. The growth of our portfolio, the doubling down of existing LPs, and the attraction of some of the most sophisticated institutional investors is a great confidence boost that there is not only appetite for our model but a strong and rapidly growing interest. We are truly just getting started.”
Since its inception, J2 Ventures has invested in over 25 companies, often attracting co-investment from top-performing generalist venture capital funds. Some of their standout investments include Aalyria, Micron Biomedical, and Lumia Health, where J2 Ventures is the sole institutional financial backer.
Raquel Bono, MD, an advisor to J2 Ventures and former Director of the Defense Health Agency, praised the firm’s mission and impact: “J2 Ventures is a special team doing fantastic work in the places that I know firsthand need innovation now more than ever. I told the team I would only join if their intent was to swing for the fences, find solutions for the hardest challenges, and strive for durable change by bringing best-in-class capabilities to our men and women in uniform. I have not been disappointed; J2 Ventures has done more than hold up their end of the deal.”
J2 Ventures’ team, which raised their $68 million inaugural fund in 2021, is composed of seasoned professionals with extensive experience in healthcare, science, technology, and defense. This unique expertise positions them to lead and invest in dual-use technology ventures, having previously advised startups on over $3 billion in Department of Defense contracts. The new Argonne Fund is set to further bolster their mission to drive innovation and support the next generation of groundbreaking technologies.
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