Marcy Venture Partners Closes $325M Second Fund

Marcy Venture Partners Closes Second Fund with $325 Million

Marcy Venture Partners, a venture capital firm established in 2018, has successfully finalized its second fund, securing $325 million in capital commitments. The firm was co-founded by Shawn Carter, known professionally as Jay-Z, alongside Jay Brown, formerly the CEO of Roc Nation, and Larry Marcus, a previous general partner at Walden VC.

Currently, the team is overseeing a total of $600 million in assets, according to co-founder Marcus. This represents significant growth from their initial fund, which closed with $85 million.

Investment Focus and Portfolio

The firm’s investment strategy centers around “consumer, culture and positive impact” ventures. A substantial portion of the companies within their existing portfolio are led by founders or executives who identify as women or people of color.

To date, Marcy Venture Partners has invested in over 21 companies spanning diverse sectors like fashion, skincare, and food.

Notable Investments

• Savage X Fenty: Rihanna’s renowned lingerie brand.
• StockX: A leading online marketplace for sneakers.
• Therabody: Creators of innovative percussion therapy devices.
• Simulate: The company behind plant-based chicken nuggets.
• Partake Foods: A manufacturer of allergen-free cookies.

The firm has also expanded its investment scope to include emerging technologies.

Expanding into Crypto and the Metaverse

Shawn Carter and his partners have begun allocating capital to cryptocurrency projects. This includes an earlier investment in Bitski, a San Francisco-based NFT marketplace.

More recently, they invested in spatial LABS (sLABS), a technology incubator concentrating on the metaverse and blockchain-based products.

Fundraising and Background

Originally, the firm aimed to raise $200 million for its latest fund, as indicated in a Securities and Exchange Commission (SEC) filing from April. The firm’s name pays homage to the Marcy Projects in Brooklyn, where Shawn Carter spent his formative years.

Carter’s Broader Business Ventures

Marcy Venture Partners represents just one facet of Shawn Carter’s extensive business portfolio. He holds a 50% stake in the champagne brand Armand de Brignac, popularly known as Ace of Spades.

He initially acquired the brand in 2014 for an undisclosed amount, and in February of this year, Moet Hennessy acquired a half-share of the company, with financial details remaining confidential.

Previously, Carter owned Tidal, a music streaming service which he purchased in 2015 and subsequently revitalized, before selling a majority stake to Square for $297 million in cash and stock in March.

Furthermore, he launched Monogram, a cannabis brand, in December of the previous year.

Perhaps most notably, he established Roc Nation, a comprehensive entertainment company now in its 13th year, with interests encompassing artist and athlete management, record labels, publishing, touring, and film/television production.