An investment firm founded by Jeff Bezos’ younger brother, Mark, and private equity veteran David Moross has raised its first venture fund – to the tune of $100 million.
West Palm Beach-based private equity firm HighPost Capital focuses on consumer companies. Its new venture capital arm, HIPstr, seeks capitalize on opportunities in early-stage companies that do not fit the investment criteria of HighPost’s more traditional buyout strategy and aims to take advantage of dramatically lower startup valuations of the past couple of years. The fund will support investments for startups in the technology, media and consumer services sectors.
HIPstr has already led or made Series A investments in beverage companies, including Sprinter, Kylie Jenner’s vodka-soda business, and tequila maker Wild Common, It has made additional investments in technology and innovation startups Closer, EverFence and RAD as well as a recent $10 million Series A fundraising for cremation services startup After.com.
The venture unit, with about 30 investors, already has invested almost 40% of its debut $100 million fund. The capital was pooled from endowments, family offices and high net worth individual investors.
“We launched HIPstr to capitalize on an attractive market opportunity driven by a reset in early-stage company valuations alongside a structural shift in how entrepreneurs scale companies,” said Moross, HIPstr’s chairman and CEO. “With six companies already in the portfolio, we look forward to continuing to identify highly compelling opportunities for our investors and working with entrepreneurs to help them build and scale their high-growth and capital efficient brands.”
HighPost’s venture push only started about a year ago, after it raised more than $500 million for its 2022 inaugural fund from investors including the family of Amazon.com founder Jeff Bezos. Mark Bezos, HighPost’s founding partner and the former head of communications at the Robin Hood Foundation, was one of Amazon’s early backers.
Moross told Bloomberg that being part of the Bezos family’s network has helped to differentiate HighPost, which he founded in 2019 with Bezos after previously setting up private equity firm Falconhead Capital. “We have avoided many deals because of information that’s come from that [Bezos] ecosystem, and made deals too.”
Jeff Bezos, of course, made a splash in late 2023 when he revealed he was moving to South Florida. Shortly thereafter, Amazon said it was scouting for 50,000 square feet of office space in the Miami area.
Photo at top of post shows HighPost Capital Partners Mark Bezos, left and David Moross. Photo from HighPost Capital
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