Sequoia Capital Reportedly Raising 2 New Funds Despite Chilling VC Climate

Maybe the good times aren鈥檛 over.

鈥攚hich has invested in some of the biggest names in the startup world, from to 鈥攊s raising two new U.S.-focused funds of up to $2.25 billion, according to a in .

The Menlo Park, California-based venture titan is looking to close a $1.5 billion U.S. growth fund focused on mature private companies, and a $750 million fund focused on earlier-stage startups. According to the report, the firm expects to close the funds in July.

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The聽 new funds will be 鈥渟ub-funds鈥� after Sequoia Capital did away with the typical 10-year fund model and created a new, open-ended Sequoia Capital Fund late last year. That fund distributes money into close-ended sub-funds such as seed, venture and growth for new investment. Any exits from those funds replenish the main Sequoia Fund in a type of VC-related symbiotic relationship.

The report comes just about a month after Sequoia warned founders in a slide presentation over of a 鈥渃rucible moment鈥� of uncertainty for the venture market due to inflation, the markets and geopolitical issues.

The numbers

Despite that warning, Sequoia has remained on a robust investment pace through the first half of the year. According to SA国际传媒 data, the firm has made 90 investments through the first half of the year鈥攁head of its pace last year when it made 84 deals through the first six months.

However, although deal count is up, total money in those rounds is down, SA国际传媒 data shows. In the first half of this year, Sequoia has participated in deals worth a total of $9 billion, compared to total rounds in the first half of last year worth $14.1 billion, .

Nevertheless, raising the new funds will be a significant show of strength for Sequoia in regards to its relationship with its limited partners. Despite a market wobbling along, the ability to convince LPs to part with another $2.25 billion makes a statement. That is especially true at a time when public portfolios are falling in value and many LPs are overexposed to the private market.

Earlier this year, it was reported 鈥攁n affiliate of Sequoia who may be best known in the U.S. as an investor in 鈥攚as raising four new funds totaling $8 billion.