Former Disney Exec Kevin Mayer Looks to Double VC Fund Size to $1 Billion
THE TAKEAWAY
- Smash Capital, an investment firm run by a cadre of former Disney executives including Kevin Mayer, is looking to raise as much as $500 million, doubling the size of the fund.
Smash Capital, an investment firm co-founded by Disney veterans including Kevin Mayer, is seeking to raise as much as $500 million in fresh capital, according to two people familiar with the matter. The new fundraising would supplement half a billion dollars the fund previously raised.
The fund, which is separate from Mayer’s Blackstone-backed venture, Candle Media, invests in consumer internet and technology startups. Its portfolio includes stakes in Epic Games, the videogame company behind Fortnite; Fever, a platform that helps people find out about concerts and other live events; and fantasy sports company DraftKings, which went public in 2020.
The current fundraising effort has netted an additional $200 million so far, with the firm expecting to reach or exceed its $500 million goal by June, the people said.
Smash is setting an ambitious target during a challenging fundraising period for venture capital firms. Limited partners, the wealthy individuals and institutions that invest in VC funds, have tightened their belts amid the broader correction in tech equity prices, which has made it harder for fund managers to raise capital. It’s much easier, though, for well-known executives with an established history and expertise in the industry in which they’re specializing.
Mayer co-founded Smash along with fellow Disney alums Eric Garland and Evan Richter, as well as Brad Twohig, a former partner at Lightspeed Venture Partners. The firm’s venture partners include many former Disney executives: Ed Catmull, a co-founder of Pixar and a former head of Disney Animation; Ben Sherwood, former co-chair of Disney’s media networks business; and Andy Mooney, former chair of Disney’s consumer products unit. Mayer’s co-founder in Candle Media, Tom Staggs, another Disney veteran, is also involved with Smash Capital as a partner.
Mayer was an executive at Disney for almost 15 years before leaving in 2020. After that he briefly served as TikTok’s CEO.