In a significant move to bolster its alternative investment platform, Goldman Sachs has announced its agreement to acquire Industry Ventures, a San Francisco-based venture capital firm managing $7 billion in assets. The acquisition, valued at up to $965 million, underscores the growing importance of secondary markets and buyouts in the venture capital ecosystem.
Deal Structure and Financial Details
Goldman Sachs will pay $665 million in cash and equity at the closing of the deal, with an additional contingent consideration of up to $300 million based on Industry Ventures’ performance through 2030. The transaction is expected to close in the first quarter of 2026, pending regulatory approvals and customary closing conditions.
Strategic Rationale
The acquisition aligns with Goldman Sachs’ strategy to enhance its $540 billion alternative investment platform, which spans various sectors including growth equity, real estate, and private credit. By integrating Industry Ventures’ expertise, Goldman aims to expand its services to technology entrepreneurs and investors seeking access to high-growth companies and sectors.
David Solomon, Chairman and CEO of Goldman Sachs, stated, Industry Ventures pioneered venture secondary investing and early-stage hybrid funds, areas that are rapidly expanding as companies stay private longer and investors seek new forms of liquidity. Their trusted relationships and venture capital expertise complement our existing investing franchises and expand opportunities for clients to access the fastest growing companies and sectors in the world.
Industry Ventures’ Profile
Founded in 2000, Industry Ventures has made over 1,000 secondary and primary investments, boasting a net internal rate of return of 18% since inception. The firm has one of the largest portfolios of venture … in the United States, representing investments in over 800 venture capital and technology-focused funds. It collaborates with more than 325 venture capital firms as a value-added limited partner, liquidity solutions provider, and co-investment partner.
Hans Swildens, Founder and CEO of Industry Ventures, commented, We believe the venture capital market is at a pivotal inflection point as technology and artificial intelligence reshape the world. By combining the global resources of Goldman Sachs with the venture capital expertise of Industry Ventures, we are uniquely positioned to serve the increasingly complex needs of entrepreneurs, private technology companies, limited partners, and venture fund managers—while fueling the continued growth of this critical economic engine.
Integration and Future Outlook
All 45 employees of Industry Ventures are expected to join Goldman Sachs. Swildens, along with Senior Managing Directors Justin Burden and Roland Reynolds … be appointed partners within Goldman Sachs Asset Management. The integration aims to leverage Industry Ventures’ specialized knowledge in venture secondary investing and early-stage … to enhance Goldman’s offerings in the tech investment space.
The acquisition reflects a broader trend in the venture capital industry, where firms are increasingly turning to non-traditional exits amid a prolonged IPO drought. Alternative liquidity solutions such as secondary transactions, continuation funds, and buyouts have become more prevalent as companies stay private longer and … .
Conclusion
Goldman Sachs’ acquisition of Industry Ventures represents a strategic effort to strengthen its position in the venture capital market and provide clients with enhanced access to high-growth technology companies. By combining resources and expertise, the partnership aims to address the evolving needs of entrepreneurs and investors in a rapidly changing economic landscape.
