The pear, which is now almost 10 years old and has many hits, just closed its largest fund to date.

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Pear, the Palo Alto, California-based venture capital firm we’ve been following since its inception in 2012, just closed its fourth fund with $410 million in capital commitments, is showing off a new filing with the US Securities and Exchange Commission.

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This is a big step up from the first three Pear funds, which phased out with $50M in 2013, $75M in 2016 and $160M in capital commitments in 2019, including from a longtime limited partner. , University of Chicago.

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Upon receiving the comment, co-founder Peyman Nozad responded via email, “I can’t comment!”

Nozad and co-founder Mar Hershenson have long been the first stop for high-profile early-stage investors seeking funds to fund nascent teams, given the firm has been an early backer of a significant number of companies that have been raising ever-larger rounds and higher valuations, including public companies DoorDash and Guardant Health.

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Other startups that have raised capital from Pear before almost any other firm was aware of their existence include the deep-linking startup Branch that shut down. $300 million in funding in February at a $4 billion valuation; Gusto, valued at $9.5 billion last summer when he raised $175 million in financing; and Aurora Solar, a firm that provides software services to the solar industry and was valued at $4 billion in February when it closed $200 million round.

Like other firms, Pear is likely to see a decline in the value of its still-private portfolio companies—perhaps significantly—depending on how long this correction lasts.

Hershenson, who joined TechCrunch this week for a mobility event, noted on stage that startups are in for bumps given how much the market has grown.

asked if Launch party is over, Gershenson replied: “Maybe it’s over for a while. . .The problem is that there were too high prices in the market in 2021, and we are all adjusting to this price change, and this is changing the way companies raise money.

“Everyone knows that the stock market has gone down a lot,” she said. “Software inventories have dropped by 80% in some cases. [Meanwhile] if you are a private company and you are very lucky and raised money in 2021, you may have received a 100x increase in your ARR. Today these multipliers are 10x or 20x. This means that if your company was worth $2 billion, [at the time of your fundraise]Your company [now] worth $200 million:

However, even with the sharp price cuts, Pear’s success to date is undeniable. Also incredible.

Nozad is known to have been a carpet merchant who insisted on taking the carpets to his clients’ homes, where in long conversations they learned about the carpet and he learned about their business. He eventually became his boss’s intelligence officer and trusted friend of some very powerful people.

“He has a good nose and I trust this guy.” — Doug Leone of Sequoia told Forbes back in 2012. “He’s just like me, from the earth.” In fact, Sequoia has backed a number of companies Pear has funded, including Guardant Health and DoorDash.

Meanwhile, his partner, Mar Hershenson, ten years ago was also an exception. Although she has previously founded several companies and has a master’s degree and a Ph.D. holds a degree in electrical engineering from Stanford University, is a native of Spain and, more unusually in venture capital circles, is a woman who hasn’t cut her teeth in anyone’s venture capital firm before. While it may not seem very noticeable today, even a decade ago she was in a very rare company as a venture capitalist.

Pear ran an invite-only demo earlier this week that we’ll be sharing with readers early next week. (Unlike Y Combinator, the company hosts a demo day each year for a relatively limited number of companies—usually around 10.)

Meanwhile, some of his other, newest checks were sent to Sudozi, a two-year-old Austin, Texas-based startup that provides a SaaS platform to help businesses improve their wealth management capabilities, and which just this month announced $4.3 million seed round led by Pear.

Pear also recently sent a follow-up check to Osmind, a two-year-old Bay Area startup that builds software to map and update patient information and documents with a focus on mental health. Equipment raised $40 million in Series B funding led by DFJ Growth, which was also announced earlier this month.


Credit: techcrunch.com /

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