In a sign of continued investor enthusiasm for venture capital deals, Bain Capital Ventures has raised $935 million to back young companies, according to a person briefed on the matter.
The new fund is to be disclosed in a regulatory filing on Wednesday, said this person, who was not authorized to speak publicly about the move. Bain Capital Ventures, which is based in Boston and has offices in New York and Palo Alto, Calif., is an affiliate of the private equity firm Bain Capital.
The fresh pool of venture capital comes in two parts, the person said. The core fund totals $715 million, of which $65 million was committed by Bain employees and the balance was from outside investors. In addition, Bain raised a separate fund totaling $220 million, which includes $20 million from Bain insiders.
The two-part structure is intended to allow the fund to make bigger investments. In the past, Bain Capital Ventures has sought to keep the size of its investments below 10 percent of a given fund. But with the new vehicle, the firm also wants the ability to make bigger investments in more mature companies, known as growth equity deals.
Bain raised the money relatively quickly, starting in the beginning of April and wrapping up on June 6, the person said.
Despite a slide in publicly traded technology stocks this year, many investors remain optimistic about the world of tech start-ups. Companies like Uber and Airbnb have raised money at multibillion-dollar valuations, and smaller companies have been able to multiply their valuations in the space of months.
Bain Capital Ventures tends to make investments in software, business services and health care. Its previous fund, which dates to 2012, totaled $660 million.
The firm has made 11 investments this year, and it has realized profits on some earlier deals. One start-up it backed, a cloud computing services company called Stackdriver, was sold to Google in May.