VantagePoint yanks planned $1.25 bln venture-capital fund

SAN FRANCISCO Tue Feb 5, 2013 1:34pm EST

SAN FRANCISCO Feb 5 (Reuters) - Venture firm VantagePoint Capital Partners, known for its investments in clean technology, has pulled the plug on a planned $1.25 billion fund due to lack of investor interest.

"We didn't feel like it was a good time," said spokesman Gene Gable, citing a "wait-and-see" approach from the firm's investors.

With venture-capital performance in recent years lagging stock-market performance, investors are increasingly looking for solid results in their venture bets.

Lately, VantagePoint has lacked a major exit - meaning a sale or initial public offering for a portfolio company. One of its biggest bets, solar company BrightSource, had to pull its IPO the week of its planned listing last April because of adverse market conditions.

Recent VantagePoint exits include data storage-company Nexsan Corp, bought last month by another data-storage company, Imation Corp, for $120 million.

The last fund VantagePoint raised was its $435 million CleanTech Partners II in 2008. Before that, it raised a $1 billion fund, VantagePoint Venture Partners 2006.

The decision to halt the latest fund, which the firm has been trying to raise since late 2010, was first reported by Venture Capital Dispatch.

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