Harlem Capital is raising a $150 million fund, according to documents filed with the SEC.
If raised, this new fund, the firm’s third, would be its largest to date. In 2021, Harlem Capital raised an oversubscribed $134 million, much more than the $40 million it raised for its inaugural fund in 2019.
The firm was founded in 2015 with the goal of backing diverse founders. Its second fund focused on early-stage post-product companies from all sectors but with a particular focus on consumer and enterprise tech. The firm currently has $174 million in assets under management, according to Pitchbook, and has made more than 80 investments since its inception, with 12 exits. Investments include Propense.ai, the fintech Poolit, and the e-commerce platform Gander.
Harlem Capital did not immediately respond to our request for comment.
Harlem Capital also focused on raising from diverse limited partners for its second fund, and it’s safe to assume that mission will continue as the firm stays true to its mission of supporting the next generation of diverse founders.
It should also be noted that Harlem Capital’s oversubscribed Fund 2 came after the heat of Black Lives Matter when the industry declared itself committed to supporting historically marginalized groups and flooded money into those communities. Harlem Capital’s third fund seeks to raise money in a very different environment, where the backlash to diversity and inclusion has taken root in industries across America.
The successful raising of this $150 million fund will be not only a show of success for Harlem Capital and its founders but also a testament to the industry’s appetite for still believing in and backing talented, underrepresented communities.