NJEDA approves $6M investment for Newark Venture Partners

At its Wednesday meeting, the New Jersey Economic Development Authority (NJEDA) board approved an up to $6 million investment into Newark Venture Partners III.

The investment comes through the NJEDA's Venture Fund Investment Program. Particulars include that up to $1 million of the aggregate commitment will contribute to a fund exclusively investing in Newark-based startups. Additionally, NVP III will work to match every dollar of the NJEDA commitment to the fund, with a $2-match for companies based in New Jersey.

The Venture Fund Investment Program prioritizes support for venture capital funds that invest in early-stage companies with less than $3 million in revenue, as well as emerging technology companies.To date, the NJEDA has approved investments in 22 venture capital funds. Cumulative commitments total more than $77 million, including a nearly $5.3 million commitment to NVP’s first two funds.

NVP III is the third fund for the Newark-based early-stage venture capital firm.NVP leverages its corporate limited partner relationships featuring investors such as Audible , Prudential Financial Inc., RWJBarnabas Health, Bank of America, Horizon Blue Cross Blue Shield and more to source potential investments, evaluate commercial viability of opportunities and add value to portfolio companies.

Bigger bang

“This investment in NVP will have exponentially greater impact as it leverages the firm’s network and expertise, advancing the performance of technology businesses across the state,” said NJEDA Chief Economic Transformation Officer Kathleen . “Investing in early-stage firms such as these will lead to economic transformation, job growth, and innovation for diverse New Jersey companies.”

“The NEJDA has supported Newark Venture Partners from the beginning and continues to be a best-in-class partner as we evolve as a firm,” said NVP Managing Partner Dan Borok.

“We value our ongoing partnerships with the NJEDA and its efforts to propel New Jersey’s innovation economy forward,” said Vaughn Crowe, a Newark native and managing partner of NVP.

The NJEDA says past venture capital partners have invested nearly four times its own investment into more than 100 New Jersey early-stage technology and life sciences companies; with companies in its venture fund portfolio receiving $3 billion of funding and active portfolio companies employing more than 1,000 full-time employees.



NJEDA Chief Executive Officer Tim says the Murphy administration has been laser-focused on connecting entrepreneurs and companies of the future with access to capital.

“Strategic investments in New Jersey’s innovation sector, like those made available under the NJEDA’s Venture Fund Investment Program, help drive ingenuity, generate good-paying jobs, and strengthen our economy further positioning the Garden State as the premier destination for technology and innovation companies,” said .

More information on the program and applications is available here .

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